Market Economy
The way goods and services are produced and consumed
What is economy?
A tax that you pay when you purchase something
What is sales tax?
An economy where the government owns some property and sets rules, but does not control everything
What is a mixed economy?
A plan for spending
What is a budget?
Another word for coins and cash printed by the government
What is currency?
The two things that affect price
What is supply and demand?
A tax on the money you make from various sources
What is income tax?
What is a monopoly?
Spending that is required by law
What is mandatory spending?
A bank account designed for frequent withdrawals
What is a checking account?
A person who buys things
What is a consumer?
A tax only placed on specific items, sometimes to discourage people from buying the item
An economy where the government controls and plans prices and what is made and sold
What is a command economy?
A small fee for lending money
What is interest?
A bank account mostly used for deposits, but limited withdrawals
What is a savings account?
The limited amount of resources available
What is scarcity?
The basic retirement program set up by the federal government
What is social security?
An economy where private companies provide goods and services
What is a market economy?
When the government spends more money than it brings in
What is deficit?
Money borrowed from a bank
What is a loan?
New ideas that come from companies competing with each other
What is innovation?
A tax on placed on goods from another country
What is a tariff?
The government organization that goes after companies that deceive people
What is the FTC (Federal Trade Commission)?
The money congress agrees to spend every year
What is discretionary spending?
Central bank of the United States
Federal reserve