Unit Nine: Critical Consumerism Review

The belief that it is good for a society or an individual person to buy and use a large quantity of goods and services.

• Communism

• Consumerism

• Confucianism

• Capitalism

This pays back relatively high interest rates, requires a minimum balance, and offers immediate access to money.

• Bonds

• Money Market Account

• IRA

• Payday Loans

These plans are often sponsored by your employer, offering a matching contribution.

• Roth IRA's

• 403 (b)

• 401 (k)

• PSP's

Which type of retirement plan is being described: This plan is self-sponsored and is funded with after-taxed money. Because of this you will not have to pay taxes when you withdraw your funds. Very beneficial if you believe you will be in a higher tax bracket at retirement. Generally it is not intended for high income earners.

• Traditional IRA

• Defined Benefits Plan

• Roth IRA

• 401(k)

A retirement account that is employer-maintained to give you a payout when you retire.

• Money Market Account

• 401(k)

• Pension

• Roth IRA

A certificate that promises to repay the money loaned, plus interest, on a certain date.

• Stock

• Certificate of Deposit

• Bond

• Revenue Share

Type of investment where money is easily accessed. Interest yield is relatively low.

• Nominal Accounts

• Credit Card Accounts

• Expense Accounts

• Savings Account

These are groups of stocks, bonds, and other investments managed by an investment firm. Because of this your holdings are diversified and monitored by professionals.

• CD’s (Certificates of Deposit)

• Mutual Funds

• Real Estate

• Annuities

Which best explains the key difference(s) between a pyramid scheme and a Multi-Level Marketing (MLM) operation?

• MLM's will provide an actual product/service to sell and an opportunity to profit.

• MLM's benefit only those at the top, taking from those at the bottom.

• Pyramid schemes and MLM's are the same thing and both take from the people at the bottom.

• Pyramid schemes will provide an actual product/service to sell and an opportunity to profit.

Reciprocity is defined as:

• A mutual exchange of privileges or favors

• A one-sided benefit

• An act of giving without expecting anything in return

• A legal obligation