Economics Final Exam Review

Front

What does the government typically do with IOUs (bonds)?

Back

Redeem them with future taxes

Front

In a traditional economy, decisions are based on:

Back

Customs and traditions

Front

What is a major consequence of a growing national debt?

Back

Higher interest payments

Front

What is a budget surplus?

Back

Government collects more than it spends

Front

A ______ tax structure takes a larger percentage from higher-income earners.

Back

Progressive

Front

A ______ is someone who benefits from a good without paying for it.

Back

Free Rider

Front

Which of the following is NOT part of the factor market? A) Land, B) Capital, C) Smartphones, D) Labor

Back

Smartphones

Front

Which is a positive externality? Options: Pollution, Education, Smoking, Loud music at night

Back

Education

Front

Which of these is an example of a non-excludable good?
Options: Concert ticket, Street lighting, Toll road, Internet service

Back

Street lighting

Front

What typically happens during a government shutdown?

Back

Non-essential services pause.