Unit 1
Unit 2
Unit 3
Unit 4
Unit 5
100
This graph shows the manufacturing capabilities of an economy between two specific goods
What is the Production Possibilities Curve(PPC)?
100
The total market value of all final goods and services produced annually within the boundaries of the United States, whether by U.S. or foreign-supplied resources
What is Gross Domestic Product(GDP)?
100
All the good and services (Real GDP) that consumers are willing to buy
What is Aggregate Demand?
100
The percentage of demand deposits that banks must, per the central government, hold in their reserves
What is the Reserve Requirement?
100
A theory that explains the relationship between the amount of money in an economy and the level of prices
What is the Quantity Theory of Money?
200
The value of the next best alternative that is given up when a decision is made
What is Opportunity Cost?
200
The difference between a given country's exported products and imported products
What is Net Exports(Xn)?
200
The proportion of aggregate pay that is spent on goods and services, as opposed to saving it
What is the Marginal Propensity to Consume(MPC)?
200
The money supply that is composed of currency, demand deposits, other liquid deposits
What is M1?
200
The term that describes increased government borrowing leading to reduced private investment in the economy
What is Crowding Out?
300
The principle that states that the additional satisfaction gained from consuming more of a good or service decreases as consumption increases
What is Diminishing Marginal Utility?
300
The economic condition where high inflation, unemployment, and slow economic growth occur simultaneously
What is Stagflation?
300
Actions of spending and taxation by Congress to influence the economy
What is Fiscal Policy?
300
A set of actions taken by a country's central bank to influence the availability and cost of money
What is Monetary Policy?
300
The factor that determines where the Long-run Phillips Curve is set, and only a change in this can shift the curve
What is the Natural Rate of Unemployment?
400
This is when a country, individual, or business can produce a good or service at a lower cost than another
What is Comparative Advantage?
400
The metric that measures the average change over time in the prices paid by urban consumers for a "basket" of goods and services
What is Consumer Price Index(CPI)?
400
When aggregate demand or aggregate supply shifts, Price Level, Real GDP, and this are affected
What is Unemployment Rate?
400
The reason the supply line in this graph is straight is because there is this many suppliers of money
What is One?
400
An economic theory emphasizing the importance of boosting production to drive economic growth
What is Supply-side Economics?
500
A limit on the highest price a seller can charge for a product or service that governments or other regulatory bodies impose to protect consumers
What is a Price Ceiling?
500
The step of the goods and resources circular flow that harvest resources/factors of production from individuals, and spends money on their income in return
What is the Resource/Factor Market?
500
The type of inflation that occurs when the demand for goods and services in an economy is greater than the supply
What is Demand Pull Inflation?
500
These three tools can be used by the central bank to return the economy to full employment when there are limited reserves
What are changing the reserve requirement, the discount rate, and open-market operations?
500
This monetary policy action could incentivize consumers to spend more and help restore equilibrium in the economy shown
What is decreasing the Administered Interest Rate?