Ohio Constitution Basics
The first draft of the Ohio Constitution was ratified in what year? (Within a decade)
1802
this term means that the Ohio Constitution was added to.
Amended
When the Feds Lower the discount rate, the cost to borrow money is.....
LOWER/CHEAPER
Sell bonds
What is the "discount rate" in Monetary Policy
Interest Rate
This is the formal name of the Ohio State Legislature
Ohio General Assembly
What year did Ohio overhaul the state Constitution?
1851
How might Congress use taxes to fix a declining economy?
DECREASE taxes- people have more money to spend
What would the FED do with the discount rate if the economy is overheating?
INCREASE to gain more money into a surplus= borrowing is more expensive
Explain who controls Fiscal policy and who controls Monetary policy
Fiscal Policy = Congress/ Govt
Monetary Policy= Federal Reserve
In the State of Ohio what is different about how long elected officials can serve?
They are term-limited
This was added to the Judicial branch to Ohio
District courts
Explain How the FED might use the Reserve Ratio to fix an economic downturn
DECREASE the reserve ratio so banks can loan out more money. They want people to spend more
in order to slow the GDP, how would Congress spend money?
spending less ( it would cause the GDP to fall )
This is the amount of money banks have to have on hand and not loan out (mandated by the FED)
Reserve Ratio
List 3 structural concepts that are shared by the US Constitution and the Ohio Constitution
Limited Government
Popular Sovereignty
Checks and Balances
What was one of the main changes to how judges made it to the bench in Ohio?
How might Congress use government spending to help the economy? give an example
ex. Covid Stimulus checks helped people to spend more- increase output.
ex. The government spending employing people in the great depression, NEW DEAL
Congress increasing taxes in an overheating economy would increase government..
(Hint: 1 word meaning the money the government gets through taxes)
Revenue
This is a loan to the government that is paid back to the people over a set time period (10-30 years)
Government Bond
What is unique about how Ohio makes laws as a state? (compared to the US Congress) VOCAB
Citizens can vote on ballot initiatives based on signatures
What was a limit placed on the Ohio General Assembly regarding money (when the state constitution changed)
set limits on how money was spend/dept limits
What can the FED do with govt. bonds to fix the economy in a Recession?
BUY government bonds to INCREASE the amount of money in the economy (QE)
How would the FED use the Reserve Ratio to tighten a overheating economy?
INCREASE the Reserve Ratio to help restrict borrowing
Gross Domestic Product: GDP