Economics Final Exam Review



Economics Final Exam Review

Chapters 9 – 16

Chapter 9

□ Authority to collect income tax.

□ Intergovernmental revenues

■ What are they?

■ What are they used for?

□ Types of taxes

■ FICA

■ Flat

■ Regressive

■ Progressive

□ Characteristics of Taxes

■ Who do they hurt?

■ Who do they benefit?

□ Incidence of tax

■ How is it calculated?

■ Who pays the tax?

Chapter 10

□ Types of spending

■ Discretionary

■ Mandatory

□ Federal deficits v. Federal debts

□ Steps to approve the federal budget.

□ Government spending v GDP

□ Categories of Government spending.

□ Tax Acts

■ Gramm – Rudman – Hollings Bill

■ Budget Enforcement Act

■ Economy Recovery Tax Act

■ Balanced Budget Amendment

Chapter 11

□ Non – Bank Financial Institutions

■ What are they?

■ What services do they provide?

■ What is their role in the Financial System?

□ What are Put and Call Options?

■ What are they?

■ What role do they play in the market?

□ Bonds

■ What are they?

■ What are the different types?

■ What is the bond rating system?

■ What is “par value”?

■ What is their role in the marketplace?

□ What is EMH?

□ Reading a stock table.

□ Different financial markets.

■ Capital

■ Primary

■ Money

■ Secondary

■ Future

■ Options

■ Spot

■ Bull v Bear

Chapter 13

□ Demand pull – Cost push Inflation

□ Stagflation

□ Hyperinflation

□ Creeping Inflation

□ PPI

□ CPI

■ Base year calculations

■ Reading the chart

□ Leading Indicators

□ Implicit GDP Price Deflator

□ Business Cycles

■ Expansion

■ Peak

■ Recession

■ Trough

■ Depression

■ GDP Gap

Chapter 14

□ Money

■ Characteristics

■ What is it?

■ Uses

■ Commodity money

■ Fiat Money

■ Wampum

■ Specie

□ FDIC

■ What is it?

■ Why was it established?

□ Federal Reserve – FED

■ When was it established? Why?

■ What is it?

■ What is its structure?

■ Fed actions in the economy?

■ Federal Open Market Committee – FOMC

■ What is it?

■ What are its functions/purpose?

■ How do its actions effect the economy?

■ Reserve Requirements

■ What are they?

■ What are their purposes?

■ Calculating

□ M1

■ What does it comprise of?

■ What is its significance?

□ M2

■ What does it comprise of?

■ What is its significance?

Chapter 16

□ Tariffs and Quotas

■ Different Types

■ Rationale

□ Smoot – Hawley Tariff (1930)

■ What is it?

■ What did it do?

■ Was it effective?

■ What was the outcome of this act?

□ GATT

■ What is it?

■ Was it effective?

□ WTO

■ What is it?

■ Was it effective?

□ NAFTA

■ What is it?

■ Was it effective?

□ Trade Deficits/Surpluses

□ Reciprocal Trade Agreements

□ Value of Currency

■ Exchange rates

■ Effects on Trade

□ Comparative v. Absolute advantage

■ What is the difference?

■ How do they each effect trade?

□ Currency exchange rates

■ Reading exchange charts

■ What helps to determine the exchange rate?

................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download