Vocab
When the economy is not doing so hot? Not as bad as a depression.
recession
What do household pay to gov't?
Taxes
100 and 500
300
What do households put into banks?
Savings money
One of the productive resources. Workers and Labor.
Human Resources
When the economy is doing horribly. Much unemployment, businesses failing, banks collapsing.
Depression
What does gov't do for households?
Public Goods and Services
450 and 850
650
What do banks give to households and businesses?
Loans
One of the productive resources. Investing money is called...
Capital Resources
When there is too much money in our economy. Prices get really high.
Inflation
If you work for a business, you expect ____ in return.
Income or wages
2000 and 10000
6000
What do you call the 'cost of the loan'? Meaning extra money you pay back with the loan?
The interest.
One of the productive resources. Comes from the Earth.
Natural Resources
Credit
Banks get what from businesses?
Savings money
90 and 180
135
Which is higher? The interest the bank pays you for your savings? Or the interest the bank charges you for loans?
Businesses use capital, human, and natural resources to make...
FInished goods and services.
interest
What do households get from banks?
Loans and interest.
25000 and 75000
50000
What do you call it when people panic and rush to take their money out of banks?
A bank run.
Businesses give what to households.
Goods and services. And income.