Basic Econ
What does a PPC show?
Trade-offs and opportunity costs
What happens to demand if price increases?
Quantity demanded decreases
Role of the Federal Reserve?
Manage money supply and interest rates
What is comparative advantage?
Ability to produce at a lower opportunity cost.
Define stewardship
Define opportunity cost
The value of the next best alternative given up.
State the Law of Supply
As price increases, quantity supplied increases.
What is a regressive tax?
A tax that takes a larger percentage from low-income earners.
An effect of tariffs?
Higher prices, reduced trade.
What is justice in economics?
Fairness and equity in policies
Why do we face scarcity?
Because resources are limited and wants are unlimited.
Draw a demand curve, label price and quantity.
A downward sloping curve
Define subsidy
A government payment to support a business or market.
What caused the 2008 crisis?
Collapse of the housing market.
What does Proverbs say about hard work?
It leads to profit and success
What is a command economy?
An economy where the government makes all economic decisions.
What causes a shift in demand?
Changes in income, tastes, prices of substitutes or complements.
What is a price ceiling?
A legal maximum price, can cause shortages.
An impact of globalization?
More trade, interdependence, wage effects
What is the Biblical view on helping the poor?
commanded to care for the needy (Proverbs 19:17)
What does GDP measure?
The total economic output of a nation.
Where supply equals demand.
Give an example of regulation in healthcare.
Licensure for doctors
Define fiscal policy?
Government taxing and spending policies.
How can faith impact economic choices?
Encourages ethical decisions and generosity.