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Unit 7 Vocab 2
Term | Definition |
---|---|
Fiscal Policy | Government decisions regarding taxes citizens must pay and the amount of money the government spends. |
Inflation | A general rise in prices throughout the economy. |
Standard Living | The quality of life measured by the amount of goods and services people can buy and the leisure time they have. |
Economic Indicators | Statistical tools used to measure the condition of the Nation's economy. |
Progressive Taxes | The wealthy pay a greater share than the less well off. |
Money Supply | Consists of cash, checking accounts, and travelers checks. |
Demand Deposits | Mostly checking accounts. |
Regressive Taxes | Everyone regardless of wealth pays the same amount. |
Monetary Policy | Actions by the Federal Reserve to influence the economy by regulating the amount of money in circulation. |
Business Cycle | The ups and downs of the economy over a period of time. |
Gross Domestic Product | The total value in dollars of all goods and services produced in the country in one year. |
Recession | A period on the business cycle marked by low economic activity, reduced profits, and rising unemployment. |
Depression | A severe recession lasting longer than a year. |
The New Deal | Government programs instituted by Franklin D. Roosevelt to rescue the country from the Great Depression. |
16th Amendment | Established the Federal income tax. |
Private Property | Property owned by individuals and business without government interference. |
Competion | Rivalry between producer/sellers of goods and services. |
Government Securities | Saving bonds, treasury notes, treasuring bills, the U.S. sells as away to borrow money |
Production | The combining of human, natural, management, and capital resources, to make goods and services. |
Incentives | Things that motivate or change or change economic behavior. |
Federal Reserve System | The nation's banking system designed to regulate federal monetary policy. |
Reserve Requirement | The minimum amount of money the fed requires member banks to keep on hand |
Consumption | Using goods and services |
Discount Rate | Interest rate charged to member banks that borrow money from the "FED." |