Economics: What is it?
Steward
What does the Greek word oikonomos mean?
Tariffs
What was the main source of income for the federal government for many years?
A small step that makes a big difference.
What is margin in economics?
An organized action by buyers to bring attention to what they see as a wrong policy in an attempt to change that policy.
What is a boycott?
A loan.
What is the simplest form of investment?
Who should make economic decisions?
What question is the basic divide between capitalism and socialism?
It caused a serious loss of trade.
What was the effect of the Embargo Act on American business?
Tangible items produced for consumption and intangible duties people perform for pay.
What are goods and services?
This word means slow to change.
What is the meaning of the term sticky in economics?
Taxes on the gain or increase in value of capital assets such as stocks and property.
What are capital gains taxes?
A social science concerned chiefly with description and analysis of the production, distribution, and consumption of goods and services.
What is the Merriam-Webster's definition of economics?
Federal Reserve System
What did Congress establish in 1913 to serve as the central bank for the United States?
The greatest benefit that a producer gives up when he makes a choice.
What is opportunity cost?
A measure of how much supply or demand changes as a result of changes in other factors.
What is elasticity?
Assets that are immediately available for exchange in transaction, including currency, coins, and deposits in bank accounts.
What is money?
It is not the solution, but the problem.
What did Ronald Reagan say about government in his 1981 inaugural address?
It created a national economy based on free trade and guided only by Congress instead of a patchwork of conflicting state regulations.
What was the outcome of the Supreme Court's decision in Gibbons v. Ogden on the US economy?
The Treaty of Versailles helped cause WWII. Loans that were too large for people to pay back helped cause the Great Recession.
What are two events and consequences mentioned that the results turned out differently than intended?
A company does not have to set its price as a result of competition.
Why does a monopoly cause a market failure?
A general, across-the-board increase in prices throughout the economy, to the point that it affects almost all people.
How do economists define inflation?
This looks at how individual households and companies make decisions and how buyers and sellers interact in the market.
What is microeconomics?
When government cuts taxes, people work harder and generate more income which in turn increases the amount of taxes available to the government.
How was the type of economics proposed by Reagan supposed to work?
What consumers want, what they can afford, what they choose, and how changes in price and income affect their choices.
What are the four factors that businesses want to know that are involved with consumer choice?
All of the knowledge diffused throughout millions of producers and consumers that enables markets to work.
What knowledge did Communist bureaucrats lack?
It implements federal monetary policy, supervises and regulates the banking industry, maintains stability in financial markets, and provides financial services to banks, the US government, and foreign entities.
What are four responsibilities of the Federal Reserve System?