Personal Finance
What is a credit score?
An assigned number to signal to lenders a person's ability to repay a loan
What are imports?
good brought into the country.
What are wants and needs?
Wants are unlimited and never change.
Needs are you need for survival.
What is an example of command economy?
China, North Korea, Vietnam, Cuba or the former USSR
What is a Discount Rate?
the minimum interest rate set by the Federal Reserve for lending to other banks.
What is a budget?
a plan for managing money
What are exports?
goods sent to other countries.
What are Incentives
Benefits offered to people to act a certain way (grades in school, wages, personal praise, etc.)
In a market economy what makes the economy what make the economy grow?
private business and firms
What is Inflation?
increase in average price level in an economy over a period of time.
What is Investing
you put money into a business
What is a embargo?
a government prohibits the import of an item
What are Marginal Cost?
The additional cost of using one more unit of a product.
What two types of economic systems make up a mixed economy?
Market and Command
What is Federal Reserve?
The country's central banking system, which is responsible for the nation's monetary policy by regulating the supply of money and interest rates
(12 Federal Reserve banks in the US)
What does FAFSA stand for?
Free Application for Federal Student Aid
what is the effect on the US when its dollar strength increases?
we can buy foreign products cheaper, but foreign countries want buy as many of our products.
Define Scarcity
When there are not enough resources to meet human wants
What are the three economic questions?
What to produce? How to produce it? and Who to produce it for?
What is full employment?
the level of employment reached when there is no cyclical unemployment.
This type of card issued by a bank that allows users to finance a purchase.
Credit Card
what is the effect on the US when its dollar weakens?
foreign countries will buy more of our products, but we can't buy as much foreign products.
What are Marginal Benefit?
The additional satisfaction from using one more unit of a product.
What are the economic and broad social goals?
They are goals like economic efficiency, equity, freedom, growth, security, and stability.
What does it mean being underemployed?
working at a job for which one is overqualified, or working part-time when full-time work is desired.