ECON FINAL EXAM REVIEW 2017

Union workers and management get together to negotiate new wages and benefits..This is called

Widget prices will rise

When only a few firms dominate the market, this is known as a(n)

US imports $463B of goods from China and exports only $116B of goods to China. The US has a

Uniformity, divisibility, durability, and acceptability are all characteristics of

The largest source of local government revenue is

An organization that works to benefit workers with higher pay and better conditions is (a)

A supply-side economist (think Ronald Reagan) would favor

Museums, public schools, and YMCA's

Markets allow us to ....

When the stock market falls over time, that is known as a __________ market.

Your factory has gone from 15,000 to 20,000 widgets per day. You have increased your

The **BEST** measure of a country's standard of living is

You catch a fish at the lake. Your friend buys a fish at the store. Which is included in GDP?

John Maynard Keynes believe that to get out of the Depression, the government should

One of the BEST measures of a national economy is

Using resources today so that they will create future benefits is called

economy based on habit and jobs handed down from generation to generation

Perfect competition is a market structure with

Best definition of economics....

a widget shortage occurs when

Adam Smith thought that an efficient economy MUST HAVE

The minimum income required to support a household is

All of the following are public goods **EXCEPT**

Over time the economy grows, the economy shrinks, and hits peaks and troughs This is called

Banks create money by

Which one is a FIXED cost for a business?

Economics planned by a central government authority is called ___________.

Which will lead to an INCREASE in Supply

Whether to produce military equipment or consumer goods is the _______ question.

In 1977, $1 will buy 4 candy bars. In 2017, $1 buys a single candy bar. You have lost

Social security, food stamps, and Medicare are all

A free market BEST promotes

We use paper money that has value because the government decrees it has value. This is

The most common form of business today is

The business cycle stops falling, but has yet to start rising. This is a

A government taxes low wage earners at 10%, mid-range at 20%, and wealthy at 50%. This is a(n)

A subsidy is

Which is a key economic question all countries face?

To fight inflation, the FED would

You are responsible to pay all debts owed by the business you own. This is called

All are complementary goods **EXCEPT**

The biggest line-item of mandatory spending on the federal budget is

You make widgets. You expect widget prices to rise down the road. You will

A drop in price will

Production possibilities frontier will grow if

Improving your widgets, or adding features to them, or offering free gifts with purchase is

The doctrine of no government interference in economic affairs is __________.

Which is a barrier to entry into a market?

__________ is the fundamental problem of economics.

Fossil fuels keep the world going, but cause massive pollution. This is a(n)

You are a corporation. You need to raise money. You will:

When there is excess supply,

An asset is liquid if it is

Equipment used in producing goods and services is called

In a free market, the Factors of Production are owned by

To loan money to a school district for new schools, investors buy _____ issued by the district

What makes an economic system successful?

Minimum wage is an example of

The national debt is

A ___ economy is one that uses its resources to produce the most goods and services possible.

The next most desirable option you give up in favor of your first choice is called

Texas International airline buys Continental Airlines, then combines the two as Continental.

Unlike perfect competition, a monopoly has

The Law of Demand

You have a PhD in engineering. Because of a recession, you are waiting tables. You are

Thinking at the margins is.....

The US economy is