Economics Final Exam Review

Which of the following is NOT a function of banks and other financial institutions?

(Characteristic of money):  limit on the availability of money so it makes it more valuable

The fastest-growing group of bankruptcy filers consists of what group of people? (Ramsey)

How do banks acquire money?

Which of the following is NOT another word for taxes?

(Characteristics of money):  Everyone in the US agrees that the American dollar will be used

What is the name of the largest OTC market in America?

How do stock brokers make their money?

(Characteristic of Money):  The money can be broken down into smaller incriments

This is the money received after stocks are sold at a higher price than what was paid for them

Due to representation purpose of taxes, what can people do if their voices aren't being heard?

What does "OTC" stand for in OTC markets?

Characteristic of money: not able to be destroyed easily

Which of the following is NOT advice Ramsey gives when searching for your ideal job?

What is the main function of a bank?

The companies that trade stock on the NYSE have stock called what?

These are the things that are able to be taxed, like property, income, cars, etc.

What is something the banks DO NOT DO with the money they collect?

(4 R's) The money collected from taxes are used to fund public projects and other public goods

this is when a company cuts the value of a stock in half but doubles everyone's shares

Which of the following is NOT a type of tax structure?

This is a tool where you list all of your debts and gradually pay them off (smallest-largest)

What are the two different types of money?

The best way to beat debt is to quit ___________ and live on _________ than you make (Ramsey)

This is when you spread your money around, and don't put all your eggs in one basket

According to Dave Ramsey, the US as a whole has a ______________ savings.

Which of the following are characteristics of a good tax?

Which of the following IS NOT an example of projects the government would use tax revenue for?

This is representation of 30 large companies in various industries (measures health of market)

What is the largest stock market in America?

A piece of paper saying you have part-ownership in a company (proof of owning a stock)

What are one of the 4 main purposes of taxes?

(4 R's) a tax is raised on products with negative side effects to discourage people from buying

(4 R's) This is when the people have a voice about their taxes and can vote in leaders 

Which of the following is NOT a type of financial institution?

Involuntary payments to the government, which failure to do so will result in jail time/fines

Who would you call if you wanted to buy stocks?

What is it called when two individuals exchange stocks informally and not in a building?

(4 R's) $ taken from those who have it and used for welfare programs for the poor (robin hood)

What would be a good or service that would be re-priced because of negative side-effects?

This is your plan on how to spend your money

What is one example Dave Ramsey gives of bargain shopping?

(Characteristic of money):  The money can be easily carried around in someone's pocket

(Characteristics of money):  The money looks and feels the same throughout the whole US

These are quarterly payments made to shareholders based on the company's profits

A(n) ______________ is your backup strategy when unexpected financial events occur (Ramsey)