What is crowding out?

Negative effects of budget deficits on private investments

What is crowding out?

When public borrowing replaces private borrowing/investment

Are you ready for this Econ Extravaganza?

Why not?, Absolutely!!, What have I gotten myself into?, I've never been more excited for anything ever.

What is seasonal unemployment?

When you're unemployed certain times of the year

a loan to the government it promises to repay in a set time

What does prices in elastic demand mean ?

demand was not as big as change in price

The Monetary policy is

The control of the supply of money in circulation

What does a short-run Phillips curve show?

Inverse relationship between unemployment and inflation rate

What is elastic supply?

A small price change causes a large change in supply.

The total value of all goods and services of a country

What is frictional unemployment?

Time period between jobs when searching.

what is given up to gain something

Intermediate goods are excluded from GDP because?

their inclusion would involve double counting

what is fiscal policy ?

government spending andtaxation to influence the economy.

How the patriots won, Falling cost of goods

What is cyclical unemployment?

Workers lose their jobs during downturns in business cycle

What is the natural rate of unemployment?

When the labor market is in equilibrium

What is comparative advantage?

Specialising in areas with lowest opportunity cost

a fall in the rate of inflation

How is unemployment rate calculated?

Number of unemployed divided by total labour force X 100 ÷1

What is microeconomics?

how people make decisions & how those affect others' economy

What is Contractionary Policy?

Surplus Budget: Spending down and Taxes up

Exclusive control over a product or means of producing it.

What is monetary policy?

actions the Fed uses to influence inflation & real GDP

What is an absolute advantage?

To produce more of a product than other countries.

What is the reserve requirement?

% of deposits that banks must hold

If the Fed is attempting to create expansionary monetary policy, what should they do?

Buy bonds, decrease RRR, decrease discount rate

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Econ Extravaganza (Acadec)

57 termsStudBud Administration93 plays

This is an overview of econ definitions as well as questions specific to the economics of the cold war to help study for Academic Decathlon competition

Flashcards57 cardsFPractice quizPHost liveL

Questions 57

Answers

1
The long-run Phillips curve is:
the same as the short-run Phillips curve.
none of the above.
the short-run Phillips curve + expected inflation
vertical.
2
What is crowding out?
Negative effects of budget deficits on private investments
Positive effect of budget deficits on international invest.
Positive effect of budget deficits on private investments
Negative effect of budget deficits on public investments
3
What is crowding out?
When public borrowing replaces private borrowing/investment
When monetary policy fails to work
When large firms send small firms bankrupt
When a monopoly buys up any competition
4
What is an effect of expansionary fiscal policy?
taxes increase
inflation decreases
unemployment decreases
price level decreases
5
Are you ready for this Econ Extravaganza?
Why not?
Absolutely!!
What have I gotten myself into?
I've never been more excited for anything ever.
6
Which of these would be excluded from GDP?
Buying a Logan
Buying a bond
Paying for your car to be washed
Buying a new car
7
Who or what is in charge of determining fiscal policy?
Congress
president
the cartel
federal reserve
8
What is seasonal unemployment?
Basic changes in the overall economy
When the economy isn't doing well
I don't know
When you're unemployed certain times of the year
9
What causes the Phillips Curve to be inaccurate?
Stagflation
Automatic Stabilizers
"Servicing the Debt"
Crowding - Out Effect
10
The money you receive for graduation gifts is excluded from GDP because it is
a private transfer payment
the underground economy
a nonmarket transaction
an intermediate good
11
What is GDP?
Gross Domestic Rate
Domestic Gross Product
Gross Domestic Product
Gross Domestic Index
12
What is a bond?
an interest rate you pay the government
a loan to the government it promises to repay in a set time
13
What type of Economy did the soviet union want to establish for everyone
Stock Market
Free Market
Diplomacy
Communism
14
What does prices in elastic demand mean ?
Demand changes more than price
Price changes more than demand
Demand was bigger than change in price
demand was not as big as change in price
15
What is on the X-axis of the phillips curve?
Inflation
Quantity
Unemployment
Interest Rate
16
The Monetary policy is
The increase of global trade tax
The control of the supply of money in circulation
Immigration laws for ownership of land
17
What does a short-run Phillips curve show?
Inverse relationship between unemployment and inflation rate
Relationship between unemployment and investment
Total accumulation of deficits the government has incurred
Percentage difference between real GDP and potential output
18
Which policy tries to manipulate the aggragate demand?
Fiscal
Monetary
19
What is elastic supply?
A small price change causes a large change in supply.
A small price change has little effect on supply.
The ability for a seller to sell a good or service.
A large price change has no effect on supply.
20
What is depression?
trade cycle
sustained long term down term
short term long term
high point short point
21
What is GDP?
A way of measuring how much labor power a country has
The total value of all goods and services of a country
The exact amount of all imports into a country in a year
The difference between amount produced and amount sold
22
What is inflation?
Growth of economy
Change in exchange rate
Decrease in prices
Increase in prices
23
What is frictional unemployment?
Time period between jobs when searching.
Lol idk
When someone is fired due to downturns in the business cycle
Basic changes in the overall economy.
24
Opportunity cost is
what is lost and can't be found
what a consumer pays for something
what is costs to produce something
what is given up to gain something
25
What did the PWA do?
Provide free meals
Provide jobs
Provide free health care
Provide easy access to bank loans
26
What is Scarcity?
Shortage of something
Having a lot of something
Being Scared
Ghost
27
An indirect tax is
a tax on income
a tax on imports
a tax on wealth
a tax on goods and services
28
What was a good effect of the cold war?
Created jobs
Caused recession
Raised unemployment
Lowered supply and demand
29
Intermediate goods are excluded from GDP because?
their inclusion would understate GDP
their inclusion would involve double counting
30
What is recession?
result in showdown
The highest point of the economic expansion
Sustained long term down term
A business cycle contraction
31
what is fiscal policy ?
government spending andtaxation to influence the economy.
what the federal reserve does to influence the economy
shows the supply and demand for money
32
The Federal Reserve is the
the bank of the universe
the bank of Bikini Bottom
the bank of all banks
33
What is a deflation?
How the patriots won
Falling cost of goods
a flat sports ball
losing interest
34
Keynesian Economics believes the economy is influenced by the total amount of what?
Supply of Goods
Demand for goods
People in your country
Money spent
35
What does a Recession show?
Growth in finance
Economic Decline
Finance stability
Economic increase
36
What is cyclical unemployment?
time period between jobs when searching
workers that work under 40 hours
basic changes in the overall economy
Workers lose their jobs during downturns in business cycle
37
What is the natural rate of unemployment?
All of them
number of unemployment divided by labor force
When the labor market is in equilibrium
time period between jobs when searching
38
What is comparative advantage?
Being better than who you're comparing yourself against
The cost of using alternative resources.
All of the above
Specialising in areas with lowest opportunity cost
39
Disinflation is
a negative consumer price index
a fall in the average price level
a fall in the rate of inflation
a rate of inflation below zero
40
How is unemployment rate calculated?
Number of unemployed divided by total labour force X 1000 ÷1
Number of employed plus the total labour force X 100 ÷1
Number of unemployed divided by total labour force X 100 ÷1
Number of employed divided by total labour force X 100 ÷1
41
What is microeconomics?
study of economy as a whole
It is the study of a small economy
It is a small study of economy
how people make decisions & how those affect others' economy
42
What is Contractionary Policy?
Deficit Budget: Spending up and taxes down
Surplus Budget: Spending down and Taxes up
None of these
Balanced Budget: Taxes and Spending are Equal
43
What is on the y-axis of the Phillips Curve?
Interest Rate
Inflation
Quantity
Unemployment
44
What is Monopoly?
control
product
meaning of product
Exclusive control over a product or means of producing it.
45
What is the Fed's most important monetary policy tool?
changing the federal funds rate
changing reserve requirements
open market operations
46
What is monetary policy?
the decision to have federal or state banks
the amount of $ the federal government spends
the amount of $ the Federal reserve prints
actions the Fed uses to influence inflation & real GDP
47
What is an absolute advantage?
Produce as little as possible to remain low on the ranks.
Produce more efficiently than other countries.
To have a monopoly regardless of how much is produced.
To produce more of a product than other countries.
48
What is the reserve requirement?
the interest rate charged by the FED
% of deposits that banks must hold
interest rate charged by banks to customers
max amount of loans the FED can make
49
What is the point of fiscal and monetary policy?
to run a business
increase wages
make money
stimulate economy
50
What is the reserve requirement usually around?
1%
55%
20%
10%
51
If the Fed is attempting to create expansionary monetary policy, what should they do?
Sell bonds, decrease RRR, decrease discount rate
Buy bonds, increase RRR, decrease discount rate
Sell bonds, increase RRR, increase discount rate
Buy bonds, decrease RRR, decrease discount rate
52
Elastic PED is
> -1
∞
0
< -1
53
Which is an action of fiscal policy?
OMO
government spending
federal tax rates
discount rate
54
What is comparative advantage?
A person is more efficient at producing one good
The opportunity ost of produce one good over another
A person able to produce all goods
A person that can produce less of one good
55
aggragate demand may be measured by adding?
consumption, investment, savings, and exports
consumption,investment, government spending ,and net exports
savings, government spending , and business inventory
56
What did the CCC do?
Trained people how to plant trees and gardens
Made sure people were conserving food and water
provide jobs for 250,000 people ages 18-25
Provide relief for 100,000 people
57
What way does the Aggregate Demand Curve slope?
Downward to the Right
Downward to the Left
Upward to the Left
Upward to the Right

Econ Extravaganza (Acadec) Flashcards | StudBud