Economics Final Review

To use resources most efficiently, countries strive for a

Good that you would by less of or not at all if your income rises 

Tax for which the percentage of income paid in taxes decreases as income increases.

An elastic demand curve is

When expenditures exceeds revenue.

How can a person increase their human capital?

Amount of goods and services in the economy that will be purchased at all price levels.

When stock prices steadily fall or stagnate for a period of time this exists.

How many periods are there in a business cycle?

When stock prices in general steadily rise for a period of time then this exists.

Which one of these people would be considered part of the Civilian Labor Force?

Competition is beneficial to whom?

This is a type of economy in which both the government and the people own goods and services.

When revenue exceeds expenditures.

In the circular flow model, firms provide households with what?

Which of the following would cause a shift in demand for oranges?

Competition through physical characteristics.

The act of giving up one benefit in order to gain another, greater benefit.

Producers and consumers try produce and buy at this optimal level-

A person who predicts that prices of stocks will fall; to then buy back later at a lower price.

An agreement by a formal organization of producers to coordinate prices and production.

If there is $25,000 in reserve and the reserve ration is 5% how much money can be withdrawn?

Maximum price that can legally be charged for a good or service.

A market structure in which many companies sell products that are similar but not identical.

An inelastic demand curve is

Which of the following is not part of the money supply (m1)?

This is an arrangement that allows buyers and sellers to exchange things.

To bring something into the country

What category makes up the largest part of GDP?

Good that a consumer demands more of when their income increases

A "perfect yardstick says"

This says that as the want/need for a product increases, then the price will too increase

Describes a market dominated by a few large, profitable firms.

This type of economy focuses around voluntary exchange.

This is a type of economy where the government has sole control over goods and services.

A person who buys shares at the hopes of selling them at a higher price later.

Tax for which the percentage of income paid in taxes increases as income increases.

Total amount of goods and services in the economy available at all possible price levels.

This means to leave the economy alone.

Point where supply and demand curve intersect.

Which one of these is not a factor of production?

In the circular flow diagram, households provide firms with what?

Goods that are used in the place of another good.

There is no such thing as a free lunch.

Tax for which the percentage of income paid in taxes remains the same at all income levels.

In a supply and demand graph, if the point is above the intersection point then this occurs

In a supply and demand graph, if the point is below the intersection point then this occurs

A graph that shows alternative ways to use an economy's productive resources.

This type of economy is based upon tradition and agriculture.

These are two goods that are bought and used together.