WorksheetsUnit 1+ 2 Study Guide - Economics and Personal Finance
Total questions: 60
Worksheet time: 33mins
What is the Study of Economics?
How individuals, businesses, and nations make choices on how to use scarce resources to satisfy their needs
How individuals and nations make choices on how to use resources to satisfy their needs
How to make money
How making money effects you
What is the Basic Problem of Economics?
Cost
Unemployment
Scarcity
Money
What Are the 4 Factors of Production?
Land
Labor
Capital
Entrepreneurship
Wants
What is a Marginal Benefit?
The benefit of removing an extra unit
The benefit of selling something
The benefit of buying something
The benefit of adding an extra unit
What Do Businesses Give to Factories
Market with goods
Jobs
Workers
Goods
What Do Factories Give to Consumers?
Jobs
Items to sell
Jobs + items to sell
Workers
What Do Consumers Give to the Government?
Jobs
Workers
Services
What Does the Government Give to Businesses?
Tax breaks
Incentives
Fines
Loans
What Do Consumers Give to Factories?
Buyers
Market
Workers
Goods
What Do Factories Give to Businesses?
Workers
Goods
Protection
Taxes
What Do Businesses Give to the Government?
Taxes
Goods
Services
Market
What Does the Government Give to Consumers?
Protection
Services
Welfare
Obamacare
What Is a Command Economy & the Types of Government Associated with it?
The Government Controls All - Dictators
The Government Controls All - Democracy
The Government a little - Dictators
The Government Controls a Little - Democracy
What is a Traditional Economy?
A Traditional Economy is an economic system based on customs, traditions, and beliefs that shape the goods and services produced
A Traditional Economy is an economic system that prioritizes individual profit over community well-being
A Traditional Economy is an economic system where the government controls all production and distribution
A Traditional Economy is an economic system based on modern technologies and innovations
What Are the 3 Economic Questions?
WHAT goods and services should be produced to meet consumer needs?
WHY should goods and services be produced
HOW should they be produced and WHO should produce them
WHO should receive goods and services
What Is a Mixed Economy?
A mixed economy is an economic system that incorporates the characteristics of different systems.
What Is a Market Economy?
A market economy is an economic system where decisions are made by businesses, not the Government.
What Are Incentives?
Incentives are rewards offered to persuade people to take certain economic actions.
What Is the Elasticity of Demand?
Price Up - Demand Down
Price Up - Demand Up
Price Up - No Change
No Change - Demand Up
What Is the Inelasticity of Demand?
Price Up - Demand Down
Price Up - Big Change
Price Up - Little Change
Price Down - Demand Up
What Are Some of the Factors of Demand?
Change in Price
Number of Consumers
Complementary Goods
Consumer Expectation
What Are Some of the Factors of Supply?
Government Policies
Cost of Production
Technology Changes
Number of Producers or Sellers
Producer Expectations
What is the Law of Diminishing Return?
More money invested = More gain
More money invested = Less gain
Less money invested = More gain
Less money invested = Less gain
What is the Law of Demand?
High Price = Low Demand
High Price = High Demand
Low Price = Low Demand
Low Price = High Demand
What is the Law of Supply?
Higher Supply = Higher Price
Lower Supply = Lower Price
Higher Price = Higher Supply
Higher Price = Lower Supply
What is the Equilibrium Point?
The Equilibrium Point is where supply equals demand.
What is a Shortage?
Shortage is a short-term deficit of a good.
What is a Surplus?
When extra goods are produced.
What is a Market?
Where Goods are Exchanged
Where Services are Exchanged
Where People are Exchanged
Where Jobs are Exchanged
What is a Merger?
When a company pays taxes
When 2 companies merge into 1
When 1 company splits into 2
When a company hires employees
What is the Order of the Business Cycle?
Peak, contraction, recession, trough, expansion, recovery
Peak, contraction, recession, expansion, recovery
Peak, recession, contraction, expansion recovery
Peak, recession, recovery, expansion, contraction
What % is considered the Full Employment Rate
5.5%
Below 5.5%
0%
6%
What is Cyclical Employment?
Quit or fired and between jobs
Seasonal working
Unemployed because of a change in the Business Cycle
Machine replacement
Unqualified for a position
What is Seasonal Employment?
Quit or fired and between jobs
Seasonal working
Unemployed because of a change in the Business Cycle
Machine replacement
Unqualified for a position
What is Frictional Employment?
Quit or fired and between jobs
Seasonal working
Unemployed because of a change in the Business Cycle
Machine replacement
Unqualified for a position
What is Structural Employment?
Quit or fired and between jobs
Seasonal working
Unemployed because of a change in the Business Cycle
Machine replacement
Unqualified for a position
What is Technological Employment?
Quit or fired and between jobs
Seasonal working
Unemployed because of a change in the Business Cycle
Machine replacement
Unqualified for a position
What is a Lagging Indicator?
Measures the future with past data and determines its strength
Measures the current market
Measurement used to make immediate decisions
Predicts future trends and events with past data
What is a Leading Indicator?
Measures the future with past data and determines its strength
Measures the current market
Measurement used to make immediate decisions
Predicts future trends and events with past data
GDP - Leading or Lagging
Total value of everything a country produces within a time period - Leading
Total value of everything produced in a year - Leading
Total value of everything produced in a year - Lagging
Total value of everything a country produces within a time period - Lagging
Balance of Trade - Lagging or Leading
When imports = exports - Lagging
When a country imports more than it exports - Lagging
When imports = exports - Leading
When a country imports more than it exports - Leading
Consumer Price Index (CPI) - Leading or Lagging
Tracks changes in consumption - Leading
Tracks changes in production - Leading
Tracks changes in consumption - Lagging
Tracks changes in production - Lagging
Interest Rates - Lagging or Leading
Car payments - Lagging
Price paid on use of money - Lagging
Price paid on use of money - Leading
Car payments - Leading
Producer Price Index (PPI) - Leading or Lagging
Tracks changes in goods produced - Leading
Tracks changes in goods produced - Lagging
Stock Market - Lagging or Leading
The Market of Stocks and Value - Leading
The Market of Stocks and Value - Lagging
Housing Prices - Leading or Lagging
Sale of and the cost of construction used in houses - Leading
Sale of and the cost of construction used in houses - Lagging
Income & Wages - Lagging or Leading
How much people make - Leading
How much people make - Lagging
Retail Sales - Lagging or Leading
The types of and amount of things that consumers purchase - Leading
The types of and amount of things that consumers purchase - Lagging
Unemployment Rate - Leading or Lagging
How many people are employed - Lagging
How many people are employed - Leading
What is Gross National Product (GNP)?
Total market value of final products and goods produced in a country during a period of time
What is a Capital Gain?
Purchasing land
The profit made off of stocks
The profit of a retail sale
Inheriting land
What is a Dividend?
A dividend is a loan taken out by a corporation from its shareholders
A dividend is a fee charged by a corporation to its shareholders
A dividend is a tax paid by shareholders to the corporation
A dividend is money paid to stockholders when the corporation makes money
What is a Stock?
A stock is a portion of a business that can be bought
A stock is a type of clothing accessory worn on the feet
A stock is a type of soup commonly consumed in winter
A stock is a type of musical instrument used in orchestras
What is a Stock Exchange
Where stocks can't be traded
Where stocks can be put into a bank
Where stocks are traded
An auction for stocks
What is a Stock Index?
A stock index is an index that tracks the top companies' stock value
What is Capital Loss?
Capital loss refers to the money made when selling a stock
Capital loss is the money lost when selling a stock
What is Preferred Stock?
Preferred stock is a type of stock that is issued by companies as they choose.
What is Common Stock?
Common stock represents ownership in a partnership
Common stock is a type of debt security
Common stock is a stock that can be publicly purchased
Common stock is a type of derivative security
What is Fiscal Policy
Fiscal policy is trying to create economic stability and growth with government spending and taxed
What is Monetary Policy?
Monetary policy is regulating/controlling the amount of money in circulation
