Personal Finance
Money you set aside for emergencies is called this.
What is an emergency fund?
When demand goes up and supply stays the same, prices usually do this.
What is increase?
An account mainly used for everyday transactions.
What is a checking account?
A share of owning something in a company.
What is a stock?
This year started the great economic depression.
What is 1929?
A number or value that makes up all of your assets and liabilities.
What is net worth?
A tax that will increase when the individual increases their own taxable income or wealth.
What is a progressive tax system?
The type of interest that builds not only on the original amount but also on previously earned interest.
What is compound interest?
The total value of goods and services produced in a country in a year.
What is GDP?
The decade when the U.S. experienced “stagflation,” with high inflation and unemployment.
What is the 1970s?
The summary on how you handle your debt is known as?
What is a credit score?
The cost of the next best action when making a choice.
What is opportunity cost?
A loan specifically used to buy a house.
What is a mortgage?
An investment fund that tries to match the performance of a market index.
What is an index fund?
The 1944 conference that established the U.S. dollar as the world’s reserve currency.
What is the Bretton Woods Agreement?
A retirement account where contributions are made with after-tax dollars but withdrawals in retirement are free from tax.
what is a Roth-IRA?
Government spending more money then it creates from taxes is this.
What is a budget deficit?
The ratio banks must keep of customer deposits as reserves.
What is a reserve requirement?
This term means spreading your investments across different assets to lower risk.
What is diversification?
The U.S. central banking system created in 1913.
What is the Federal Reserve?
The U.S. law that gives you a free credit report from each bureau once a year.
What is the Fair Credit Reporting Act?
The economic concept that explains why trade can benefit both countries, even if one produces everything more efficiently.
What is comparative advantage?
A credit score created by FICO typically ranges between these two numbers.
What is 350 and 800?
The average return of U.S. large companies is often measured by this index.
What is the S&P 500?
The author of The Wealth of Nations, often called the father of economics.
What is Adam Smith?