Vocabulary
General, sustained upward movement of prices for goods and services in an economy.
What is inflation?
The year the stock market crashed, leading to the Great Depression.
What is 1929?
A tax governments impose on income generated by businesses and individuals.
What is income tax?
Age requirement to buy and sell stocks.
The state of owing money.
What is debt?
Economic indicator used to measure the change in cost of a market bundle of goods and services.
What is Consumer Price Index(CPI)?
Economic statistic in which increased by nearly 25% during the Great Depression.
What is unemployment rate?
Taxes imposed on certain goods and services.
What is excise tax?
Retirement account that allows you to contribute after-tax dollars and grow your contributions tax free.
What is a Roth IRA?
A payment made to someone from whom you borrowed money from.
What is interest?
The Fed's various actions that are used in an attempt to influence the economy.
What is monetary policy?
Economic thinking in the 1920s.
What is laissez-faire?
A fixed regular payment made by an employer to an employee.
What are wages?
The money spent on goods and services.
What are expenses?
Interest on the principal and any accumulated interest.
What is compound interest?
A tool used to reduce government spending by the Federal Reserve to combat inflation.
What is contractionary policy?
3 markers of the success of an economy.
What is CPI, GDP, and unemployment rate?
A fixed regular payment expressed as an annual sum, made by an employer to an employee.
What is salary?
Borrowing money to use now, which will be paid back later plus interest.
What is credit?
Describes what percentage a person or business has to pay back on a loand.
What is interest rate?
The purchase and sale of securities or bonds in the open market by the Federal Reserve (Fed).
Shacktowns or homeless encampments during the Great Depression.
What are hoovervilles?
Federal payroll tasks that provides funds for social security and medicare costs for retired Americans.
What is FICA tax?
Start early, buy and hold, diversify.
What are 3 ways to build life long wealth?
Key factor in determining credit worthiness.
What is credit history?