Unit 1
A benefit given by the government to groups or individuals, usually in the form of a cash payment or tax reduction.
Subsidy
Unemployment is at it's highest and the economy could be in a recession.
Trough
Which of the following is NOT part of Payroll Taxes?
Income
Imports > Exports = ??
Trade Deficit
How many economic systems exist to answer economic questions?
4
When would the Fed implement contractionary policy?
When inflation is rising
In terms of the US national budget what are the biggest outlays?
Mandatory spending
The U.S. should implement protectionist policies with higher tarriffs to provide more jobs domestically.
Protect US workers
A small group of companies that collude to maintain control of an industry are considered.
Oligopoly
Used in monetary policy, it's the simultaneous purchase and sale of funds in order to profit from interest rates.
Arbitrage
Higher earners pay a higher amount of taxes
Progressive
Shows how revenue of taxes is relevant to a country's size.
Ratio of Taxes to GDP
Who said "From each according to his ability, to each according to his needs!"
Karl Marxx
When the Federal Reserve buys and sells bonds from investors and institutions to regulate money supply.
Open market operations
The legal rights given to the inventor or creator to protect their invention or creation for a certain period of time.
Intellectual property rights
Payroll Taxes are labeled as...
FICA
What book did Adam Smith write?
Wealth of Nations
At which point does a business cycle begin?
Expansion
Public goods and services are beneficial and useable by all people making them...
Non-Excludable
The United States should reduce tariffs on imported goods and work to reduce tarriffs globally.
Free and Fair trade