Review –Unit 8 Name _____________________________

Match the statements below to the following terms.


1. Households Who owns the factors of production in a market economy?

2. Inverse Demand and price have a(n) _________ relationship.

3. Traditional What type of economy is based on ritual and custom?

4. Socialism A political philosophy of dividing out wealth among the

citizens.

5. Government Who owns the factors of production in a command

economy?

6. Free Market What type of economy does the US have? (EOC answer)

7. Law of Demand A principle that says at low prices, people are willing to

buy more, and at high prices people are willing to buy less.

8. Mixed Economy What type of economy includes a market economy with

some government intervention?

9. Substitutes Goods that can be used in place of one another.

10. Decreases As price _________________, demand increases.

11. Minimum Wage This is an example of the way the US govt. controls some

aspect of the US economy.

12. Businesses/Firms In the circular flow, who provides goods and services?

13. Increases As price __________________, demand decreases.

14. Downward Slope The demand curve has a ______________ slope.

15. Change in Price What causes a movement along the demand curve?

16. Inelastic If quantity demanded does not change with a change in

price, the demand is _____.

17. Elastic If quantity demanded changes with a change in price, the

demand is ____.

18. Supply The amount of goods available.

19. Demand The desire to own something and the ability to pay for it.

20. Complimentary Goods that are bought together.

21. Direct Quantity supplied and price have a ____ relationship.

22. Law of Supply The concept that produces supply more at high prices and

less at lower prices.

23. Left Which direction would the supply curve shift if there was a

decrease in supply?

24. Shift Change in technology can cause a _______ in the demand

curve.

25. Supply Schedule A chart that describes qty. supplied at different prices.

26. Communism A political philosophy in which all economic power rests

the central govt.

27. Circular Flow Contains the monetary and physical flow of an economy.

28. Quantity Label x axis of supply and demand graph with ____.

29. Price Label y axis of supply and demand graph with _____.

30. Market Supply Sched. Combing the various supply schedules.


Tell what happens to the demand for GOOD A – does demand increase or decrease?

31. Increase population size increases.

32. Decrease population size decreases

33. Increase GOOD A becomes a popular item

34. Decrease GOOD A becomes less popular

35. Decrease Consumers income decreases

36. Increase Consumers income increases.

37. Decrease Cost of complimentary good goes up.
38. Increase Cost of complimentary good goes down

39. Increase Cost of substitute good goes up.

40. Decrease Cost of substitute good goes down.

41. Increase Consumers expect a shortage of GOOD A

42. Decrease Consumers expect a surplus of GOOD A

Tell what happens to the supply of GOOD B – does supply increase or decrease?

43. Decrease Cost of an input increases

44. Increase Cost of an input decreases

45. Increase Technological advances occur

46. Decrease Technological setbacks

47. Decrease Govt. places more regulations on GOOD B

48. Increase Govt. requires fewer regulations to make GOOD B

49. Decrease Taxes increase

50. Increase Taxes decrease

51. Increase Govt. gives money to company to help them with production (subsidy)

Match the statements below to the following terms.


Anti-federalists

Arbitration

Bank

Bartering

Bear Market

Bull Market

Capital gains

Capital loss

Collateral

Collective Bargaining

Commercial Banks Commodity

Communist Manifesto

Conglomerate

Contractionary Policy

Corporation

Credit Unions

Decrease

Deflation

Demand Side Economics

Disequilibrium

Dividends

Dow Jones/S & P 500

Equilibrium

Expansionary Policy

Federal Reserve

Federalists

Fiscal Policy

Government Monopoly

Horizontal Merger

Increase

Inflation

Karl Marx

Keynes

Labor Union

Mediation

Money

Monopolistic Competition

Monopoly

Multinational corporations

NASDAQ

Natural Monopoly

New York Stock Exchange

Oligopoly

Partnership

Price ceiling

Price Floor

Professional Labor

Richmond Federal Reserve District decrease

Right to Work

Savings and Loans

Semi-skilled labor

Shares

Sherman Antitrust Act

Shortage

Skilled Labor

Sole Proprietorship

Stock split

Stockbrokers

Strike

Supply Side Economics

Surplus

Trickle Down Effect

Unskilled Labor

Vertical Merger



52. __________________________ A maximum price for a good or service

53. __________________________ any price or quantity not at equilibrium

54. __________________________ requires no specialized skills, education, or training

55. __________________________ a market dominated by a single seller

56. __________________________ a business organization owned by two or more persons who agree on a specific division of responsibilities and profits

57. __________________________ when the stock market steadily rises over a period of time

58. __________________________ a school of economics that believes that tax cuts can help an economy by raising supply

59. __________________________ a market structure in which a few large firms dominate a market

60. ___________________________ units in which ownership of a corporation are sold in

61. ___________________________ anything that serves as a medium of exchange, a unit of account, and a store of value

62. ___________________________ the use of government spending to influence the economy

63. ___________________________ the union and company representatives meet to negotiate a new labor contract

64. ___________________________ created in 1890 and banned monopolies and other business combinations that prevented competition

65. ___________________________ when quantity demanded is more than quantity supplied (excess demand)

66. ___________________________ how people acquire goods and services without money, used in a traditional economy

67. ___________________________ philosopher and political economist known better as a communist and author of the Communist Manifesto

68. ___________________________ supervises and regulates banks, implements monetary policy, controls the amount of currency in circulation, and sets reserve ratios

69. ___________________________ a general increase in prices

70. ___________________________ the point at which quantity demanded and quantity supplied are equal

71. ___________________________ a market that runs most efficiently when one large firm supplies all the output, like public water

72. ___________________________ a business owned and managed by a single individual

73. ___________________________ an institution for receiving, keeping, and lending money

74. ___________________________ when each single share of stock splits into more than one share, used to encourage investors to buy stock

75. ___________________________ the idea that government spending and tax cuts help an economy by raising demand

76. ___________________________ lays out the foundation for communism by describing the conflict between the proletariat and the bourgeois as leading to revolution

77. ___________________________ investing money in companies and giving them tax breaks will benefit the economy because eventually consumers will experience the effects

78. ___________________________ the country’s largest and most powerful exchange

79. ___________________________ demands advanced skills and education

80. ___________________________ this is a measure that bans mandatory union membership; NC is one

81. ___________________________ when quantity supplied is more than quantity demanded (excess supply)

82. ___________________________ a product that is the same no matter who produces it

83. ___________________________ a monopoly created by the government

84. ___________________________ organized work stoppage intended to force an employer to address union demands

85. ___________________________ a market structure in which many companies sell products that are similar but not identical

86. ___________________________ a substantial drop in prices

87. ___________________________ a legal entity owned by individual stockholders

88. ___________________________ when the stock market steadily falls over a period of time

89. ___________________________ a minimum price for a good or service

90. ___________________________ requires specialized abilities and training to do tasks

91. ___________________________ the neutral third party reviews the case and imposes a decision that is legally binding for both sides

92. ___________________________ joining of two or more firms competing in the same market with the same good or service

93. ___________________________ requires minimal specialized skill and education

94. ___________________________ the American market for over the counter stocks

95. ___________________________ believed a centralized banking system was necessary

96. ___________________________ offer checking services, accept deposits, and make loans

97. ___________________________ merging of more than three businesses that make unrelated products

98. ___________________________ money made when an investor sells stock for more than he or she paid for it

99. ___________________________ link buyers and sellers of stock, work for a brokerage firm

100. __________________________ a portion of a corporation’s profit paid out to stockholders quarterly

101. __________________________ policy that during a recession or depression the government should increase spending or decrease taxes

102. __________________________ joining of two or more firms involved in difference stages of production of the same good or service

103. ___________________________ person who developed the idea of demand-side economics, which encourages government action to increase and decrease demand and output

104. ___________________________ large corporation that produces and sells its goods and services throughout the world

105. ___________________________ originally created when members deposited funds into a general fund and then borrowed money to buy their own homes; now serves many of the same functions as a bank

106. ___________________________ neutral mediator meets with each side to try to find some solution and the decision reached is nonbinding

107. ___________________________ an organization that tries to improve working conditions, wages, and benefits for its members

108. ___________________________ money lost when and investor sells stock for less than he or she paid for it or when a company doesn’t make a profit or cant pay dividends

109. ___________________________ wanted a decentralized banking system where banks were operated by the states

110. ___________________________ cooperative lending associations for particular groups (i.e. state employees), usually small, specialize in home mortgages and car loans, some provide checking/saving

111. ___________________________ property used to secure a loan

112. ___________________________ During times of recession and depression the Fed __________ interest rates. (this encourages lending and discourages savings)

113. ___________________________ policy that during in inflation the government should decrease spending or increase taxes

114. ___________________________ During times of inflation, the Fed _________ interest rates.

(this encourages savings and discourages lending)

115. ___________________________ of the 12 Federal Reserve districts, NC belongs to this one

116. ___________________________ used to determine stock performance by either examining 30 large companies or 500 companies