Monetary Policy
What is Monetary Policy?
How the federal reserve influences the supply of money and brings the nation out of either a recession or inflationary period.
What is Fiscal Policy?
Government decisions on spending and taxation that are intended to improve or maintain the economy.
What is legal term for when the government can take your land as long as they pay you a fair value?
Eminent Domain
What is the GDP?
The total value in dollars of all final goods and services produced with a nation each year.
What is Globalization?
The expansion of economic, political, and cultural processes to the point that they become global in scale and impact.
Who runs the federal Reserve and how do they get that position?
There are seven members including a chairman that run the Federal reserve Board of Governors and they are appointed by the president.
Who makes the Fiscal Policies?
Congress and the president make a fiscal policy through the federal budget.
What are the three requirements for the fair use law?
It has to be either a parody, for educational purposes, or a reaction/commentary.
What are the 4 Aspects of a business cycle?
Expansion, peak, contraction, and trough
What is the difference between Exports and Imports?
Exports are sending good and services to another country and imports are bringing them into a country.
What is the Reserve Requirement?
The percentage of all deposits that a bank must keep in their vaults.
The fiscal policies monitor and control government spending. What do the two main political parties favor when it comes to fiscal policies?
Increase spending with democrats and decreasing taxes by republicans.
What two of the MAJOR punishments for violating copyright?
1. Payment for each work infringed from $200-$150,000
2. Criminal prosecution with fines not to exceed $2,500 and/or imprisonment of not exceeding 5 years.
What is the difference between a recession and a depression?
The amount of time each lasts. A recession is a contraction longer than 6 months and a depression is recession longer than a year?
What is economic Interdependence?
A consequence of specialization or division of labor. The participants in any economic system must be part of a trading network to obtain the products they cannot produce efficiently for themselvs.
How many Central Federal Reserve Banks are there?
12
Fiscal policies are broken down into two types of policies. What are these two types?
Expansionary policies and contractionary policies
What are the three timespans for copy right?
1. Life of the creator plus 70 years
2. 95 years from publication date
3. 120 years from creation date
What are the 3 main types of indicators?
Leading, Coincident, and Lagging
What is the difference between absolute and comparative advantage?
In an absolute advantage, a country has the ability to make a product more efficiently than a country that has comparative advantage.
What are the three main tools the Fed uses?
Reserve Requirements, discount rates, and open market operations.
What are the two approaches in each type of Fiscal policy?
Contractionary policies: Increase taxes or decrease spending
Expansionary Policies: Decrease taxes and increase spending
What are limits for the fair use Guidelines established in 1997?
For music it is no more than 10% or max of 30 seconds
For film no more than 10% or a max of three minutes
For written words: No more than 1000 words or 10% unless if it is a poem then its either the entire piece or 250 words for longer poems.
What is the difference between micro and macroeconomics?
Microeconomics is concerned with the actions of individuals and businesses, while macroeconomics is focused on the actions that governments and countries take to influence broader economies
Name 5 things that North Carolina contributes to the American Government (NOT TAXES)
CORRECT