Gov. and Market Failures
Individuals that benefit without paying
What is free riders?
How many types of monopolies are there
What is four?
Accepted, Portable, Divisable are all examples of....
What is aspects of money?
What must inflation, GDP, and unemployment rates be at?
What is 2% (inflation), 3% (GDP), and 5% (unemployment)?
People who are not currently working
What is unemployed workers?
Situation in which the free market system fails to satisfy society's wants
What is market failure?
One company that controls all of a particular product
What is horizontal monopoly?
Buying something for less than a dollar, it’s pretty easy to get quarters, nickels, or pennies..... this is an example of which aspect of money
What is Divisibility?
Reserve requirements, discount rates, and open market opportunities are all...
What is 3 main tools for the Fed?
Taxes that take a larger percent from the low income group
What is Regressive taxes?
Third-person side effect
What is externalities?
The graph of distribution of income or wealth within the population
What is Lorenz Curve?
Goods being traded for other goods without the use of money
What is Barter?
Belief that the money supply is the most important part of macroeconomic performance
What is Monetarism?
Number of unemployed workers divided by total labor force
What is unemployment rate?
Two criteria of public goods
What is non exclusion and shared consumption?
The three types of taxes
What is Progressive, Proportional, Regressive?
Measures how easily assets can be spent to buy goods and services
What is liquidity?
Reducing RRR leads to...
What is increase in money supply?
Con of cryptocurrency
What is volatility, no government regulations, irreversible, lack of scalability, or bad for the environment
Why is an externality a market failure
What is free market doesn't include external costs or benefits?
When the governments outlays are greater than their revenues
What is budget deficit
Name the three functions of money
What is medium of exchange, unit of account, store of value?
Who/what is the Fiscal Policy controlled by
What is Congress and the president?
Unemployment due to recession
What is cyclical unemployment?