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Unit 1
1. What are the 3 Basic Economics Questions that Scarcity forces everyone to ask?
2. What are the 4 Factors of Production (Resources)
3. What role do Entrepreneurs play? Why are they important?
4. What is Economic Growth?
5. What is Opportunity Cost?
Business Income
Goods and
Services
Goods and
Services
Factors of Production
Land, Labor, Capital,
Entrepreneurs
Buy productive
resources
Pay for
Resources
Consumers Spending
Product Markets
Factor Market
Income from
resources
6. Which market do people buy stuff?
7. Which market do you work in/get paid for working in?
8. What would be the effect of RAISING taxes on workers incomes be in this chart?
9. What is an Economic System?
A = Command
(socialism)
B = Mixed
C = Market
(free enterprise and capitalism)
10. Describe this Graphic. What is there more of on the LEFT and on the RIGHT
11. What is the Ancient type of Economic System not pictured on that chart?
12. Which system is the United States Mostly.
13. Name an example or two of something the US borrows from the other system
14. Name the 5 Characteristics of Free Enterprise
15. Name the 3 Types of Business Organizations
Unit 2
16. What is the study of an Individuals Choices?
17. As price goes UP what happens to Quantity Demanded & Quantity Supplied
18. Explain the difference between a change in quantity demanded and a change in
the demand curve
Given the 5 Determinates / Factors that shift the Demand Curve
Consumer Income
Complements
Consumer Taste/Preferences
Expectations
Substitutes
19. Give an Example of each of those changing and what way it would change the
Demand Curve
Given the 7 Determinants / Factors that Shift the Supply Curve
Cost of Resources
Expectations
Productivity
Government Regulations
Producing Technology
Number of Sellers
Taxes and Subsidies
20. Give an Example of Each of those changing and what way it would change the
demand curve
S3
S1
Price
Price
S2
D2
D3
21
D1
Quantity
Quantity
21) Label which of those lines would be Original Supply, Original Demand, More
Demand, Less Demand, More Supply, Less Supply
D1
S1
Price
.
D2
D1
S2
E1
S1
.
E2
Price
.E1
.
E2
Quantity
Quantity
S2
D1
Price
E2
D1
S1
.
S1
Price
.
E1
D2
.
E1
E2
.
Quantity
Quantity
22) Label Graphs as “More Supply” “Less Supply” “More Demand” “Less Demand”
Looking back at the graphes if you need. There are again Four Possibilities
“More Demand”
“Less Demand”
“More Supply”
“Less Supply”
23) What happened to Equilibrium Price and Equilibrium Quantity in each situtation
((So which two cause prices to go up and which two cause prices to go down))
24) Give an Exampleof change that would fit each graph. In another words write
sentence (a problem) that would be an example for each of those Four Possibilities
Demand” “More Supply” “Less Demand” and “Less Supply”
25) If you look at a T-Table, or whenever you look at price and quantity
If QS = QD you are at ______________
If QS < QD you have _____________
If QS > QS you have _____________
Unit 3:
26) Name ALL the Measures of the Economy
27) Define Macroeconomics
28) What does the GDP measure
29) What does the GDP NOT measure
30) Why do we measure the GDP
31) What do we call the “ups” the “Downs” and the whole up & down cycle of the GDP
3
32) Label on this chart Expansion, Contraction, Recovery, Economic Growth, Peak,
Trough,
33) What is the Consequence of Inflation
34) What is used to measure Inflation?
Employed
Unemployment
Not in the labor force
Underemployed
35) explain the difference between the 4 phrases above
36) give an example of a person that would fit each of those phrases
Cyclically unemployed
Frictionally unemployed
Structurally unemployed
Technologically unemployed
Seasonally unemployed
37) Give an example of a person that would fit each of those types
38) What is Commodity Money
39) The constitution gives who power to print money in the USA
40) What does the FDIC do?
41) Whose job is it to maintain the money supply, regulate and supervise banks, serve as
the governments bank, and have its director appointed by the president?
42) Name the current chairmen appointed now
43) What is deliberate control of the Money Supply called?
44) What are the 3 reasons/purposes of controlling the Money Supply?
45) What are important factors for judging an investment?
401k
Stock Market
Pension
Mutual Fund
Municipal Bonds
Junk Bond
Treasury Bond
Government Savings Bonds
. Certificate of Deposit
Equities
46) Define each of those investment tools ((put a star by the riskiest)
UNIT 4
47) Define the “Ability to Pay” Principal of Taxation
48) Explain Progressive, Proportional, and Regressive Taxes
49) The Gross Pay– Net Pay would tell you what on a paycheck?
50) For the Government taxes would be called what? (because that’s how the
government gets its money)
51) Name the 3 “Levels” Of Government and main tax of each
52) What government agency collects taxes for the US government?
Name the taxes below:
53) Tax a corporation pays on its profits
54) Tax on the transfer of money or wealth
55) Tax on the manufacture or sale of selected items
56) Charge levied on goods brought into the US from other countries
57) Tax on the tangible and intangible possessions such as real estate, buildings,
furniture, stocks, bonds, and bank accounts
58) Tax on the transfer of property when a person dies
59) Define (or give a synonym) for Government Expenditure
60) What is Fiscal Policy?
61) What is the difference between Deficit Spending and National Debt?
62) How do these impact you?
Private Good, Private Service, a Public Good, a Public Service
63) Explain the difference in those 4 phrases
64) Give an example of each
Market
Structure
Characteristics of Market Structures
Number of Firms Influence over
Entry into Markets
in Industry
Price
Few
Some
Difficult
One
Extensive
Almost Impossible
Many
None
Easy
Many
Limited
Easy
65) Fill in those Market Structures
66) What Market Structure is the Sherman Anti Trust aimed at?
Examples
Cell Phones
Electric company
Farming
Clothing Stores
UNIT 5
67) Explain the difference between an Import and Export
68) Define Quota
69) What is a Comparative Advantage?
70) What is an Absolute Advantage?
71) Explain why sometimes free trade is limited by arguments like “National Defense”
72) Name the largest Free Trade Association? (Hint 3 countries involved)
73) What is a subsidy?
74) What is a Foreign Exchange Rate?
75) What is the difference between a “Developing Country” and a “Developed Country?”
76) Name some problems countries have going from Developing to Developed?
77) What is Global Interdependence mean? And what one word leads to it?
78) What is outsourcing?
79) What is the difference between “Fair Trade” and “Free Trade”
80) Explain how “Free Trade” and “Protectionsim” are opposite concepts and help/hurt
opposite type of people in America.