Taxes
The name of the institution that collects taxes, enforces tax policy, and audits people
This occurs when the government spends more than it brings in
What is a deficit?
This economic system is based on trading one item for another
What is bartering?
This is the "central bank" of the United States
What is the Federal Reserve?
2 negative quarters of GDP growth
What is a recession?
This type of tax features one simple percentage for everyone to pay regardless of income
What is a flat tax?
This is who our federal government owes most of it's debt to.
Who are US citizens/bond holders?
This type of digital currency features blockchain and is capped at only a certain amount
What is cryptocurrency?
When the federal reserve raises interest rates, increases the reserve requirement, or sells government bonds.
What is contractionary monetary policy? (or Quantitative tightening)
This is a term used to refer to risky investments that project continued growth in a company in the future.
What is overspeculation?
This tax system features tax brackets - each with an assigned rate that you must pay on the amount of income you have in each bracket - ultimately taxing the rich more.
What is the progressive income tax?
This is the biggest spending item in the federal budget
What is mandatory spending on entitlements (Social Security and Medicare)?
This type of money can be used for something other than money
What is commodity money?
When the federal reserve needs GDP to grow and unemployment to go down, they choose this monetary policy.
What is expansionary monetary policy? (or Quantitative Easing).
This is the target range the Fed wants GDP & CPI to be in.
What is 1-3%?
This illustrates that too high a level of taxes will result in less, not more government revenue.
What is the Laffer curve?
This fiscal policy features cutting taxes & government spending to spur economic growth
What is supply side economics?
Due to an increase in demand for money & economic recessions, the US removed the gold standard and moved to this type of currency
What is fiat currency?
This is the current federal funds rate
What is 3.5-3.75%?
This is the unit by which property taxes are measured.
What is a mill?
Before the 16th Amendment, this is how the federal government primarily raised revenue.
Tariffs & Excise taxes
This fiscal policy features an increase in government spending to increase economic growth
What is Keynesian economics?
This is when unemployment is high and inflation is high - with little to no movement in economic growth.
What is stagflation?
The Federal Reserve is comprised of this many regional banks.
What is 12 regional banks?
This is what the Fed did to make the stock market crash in 1929 worse - leading to bank runs.
What is contracted the money supply?