Inflation
Supply and Demand
Fiscal & Monetary Policy
Tariffs
Market Structures
100
What is inflation
the price of goods increasing over time
100
What is Supply curve shape?
rightwards and upper sloping
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100
What are the 2 things involved in the Fiscal policy?
taxes and government spending
100
What are Tariffs?
a tax that the government imposes on imported goods and services
100
What is a Market structure with one seller
a monopoly
200
What is the effect of inflation on wages
increases
200
What is Law of demand?
An increase in price leads to a decrease in quantity demanded
200
What is the purpose of monetary policy?
for a country to control the money supply to keep the economy stable
200
What is a tariff's effect on consumers?
pay more for goods and feel unhappy
200
What is the difference between perfect competition and imperfect competition
identical goods versus differentiated goods, with a greater emphasis on advertising and some ability to set prices?
300
What is the reason inflation matters
The value of the dollar decreases
300
What is the Intersection of supply and demand curves?
market equilibrium
300
What is the organization that controls the monetary policy?
the Federal Reserve (Fed)
300
What is the Tariffs' effect on local producers
happy due to the new lack of competition
300
What is a Market structure with one buyer?
a monopsony
400
What percentage is considered healthy inflation
2%
400
One of these doesn't change the supply curve: technology, price, taxes, or the number of suppliers.
price
400
What are the 2 types of fiscal policies
expansionary fiscal policy and contractionary fiscal policy
400
What is the Average tariff rate with Trump?
20%
400
What is a common game theory model used to illustrate a typical failure in oligopolies
prisoner's dilemma or the Nash equilibrium
500
What percentage is the Inflation increase during COVID?
8%
500
What is normal goods and inferior goods
A normal good is one whose demand increases when income increases, and an inferior good is one whose demand decreases when income increases.
500
What is the type of fiscal policy that controls inflation
contractionary policy
500
What is the Act to implement tariffs for emergency reasons that trump used?
the International Emergency Economic Powers Act (IEEPA)
500
What are the antitrust laws designed to prevent monopolistic trade practices
Sherman and Clayton antitrust acts