Download Unit 7 Review - civisandeconomics

UNIT 7 REVIEW
Mixed
◦The US is best described as
what type of economy?
Expansion
◦As stock market improves,
the business cycle is most
likely to be in which phase?
Excise Tax
◦Tax typically paid on
alcohol, tobacco or
telephone service
American
◦If there was a large tariff on
Japanese cars, US customers
would most likely buy
_________ cars
Smith
◦Capitalism
Loose
◦lowering the discount rate is
an example of ______ money
Progressive Tax
◦The higher the income is, the
higher the tax rate is
Marx
◦Communism
Global interdependence
◦Countries that rely on one
another for their goods and
services
(Labor) Unions
◦Workers organize ________ in
order to obtain better pay
and working conditions.
Revenue
◦government income
Great Depression
◦consumer goods bought on
credit led to this economic
catastrophe
Regressive
◦Sales tax is a ___________ tax
Socialism
◦The government redistributes
wealth but allows private
ownership
Mandatory spending
◦Expenditures for Social
Security and debt payments
are
Capitalism
◦A laissez-faire economic
philosophy is most
associated with which
economic system?
Federal Reserve
◦The ______________decides
monetary policy
Adam Smith v. Karl Marx?
Inflation
◦the value of money goes
down, but prices go up
President and Congress
◦The ______________decides
Fiscal policy
Federal Reserve
◦What lends to banks,
controls interest rates, and
stabilizes the economy
Deflation
◦the value of money goes up,
but prices go down
Capitalism
◦Which economy is based on
markets, private property,
competition, and profits
Trade deficit
◦Which term describes the
condition of a country
whose value of the products
it imports exceeds the value
of products it exports?
Business Cycle
◦Alternating periods of an
economy’s growth and
decline
Eliminate tariffs and barriers
◦The purpose of trade
agreements between
nations is to
Protectionism
◦_________________often
harms a country’s economy
because it can lead to trade
wars
Fiscal Policy
◦The government cuts taxes,
hoping that having more
money will result in people
buying more goods and
services.
Strike
◦When a union and a business
fail to reach an agreement
through collective bargaining,
the workers could go on
_______ to force an agreement
Tight
◦raising the reserve
requirement is an example
of _________________ money
Smith
◦Invisible Hand
NAFTA
◦What eliminated trade
barriers between US, Mexico,
and Canada?
Traditional
◦An economic system that relies
on habit, custom, or ritual to
decide questions of
consumption and production
of goods and services is…
Lower/Better
◦Healthy competition in the
market causes lower/higher
prices better/worse quality
Communism
◦In what kind of economy
does the government make
all the decisions?