Intro to business chapter 2

Subprime mortgage loan

A BLANK is targeted to borrowers with low credit scores, high debt-to-income ratios or signs of a reduced ability to repay the money they borrow

Oligopoly

A market structure with only a handful of competitors selling products that can be similar or different. barriers to entry are typically high

Budget deficit

Shortfall that occurs when expenses are higher than revenue over a given period of time

Business cycle

The periodic contraction and expansion that occur over time in virtually every economy

Monopoly

A Market structure with one producer completely dominating the industry, leaving no room for any significant competitors. Barriers to entry tend to be virtually insurmountable

Deflation

A period of falling average prices across the economy

Inflation

A period of rising average prices across the economy

Disinflation

A period of slowing average prices increases across the economy

Planned economy

Abraham Lincolns quote about not helping the poor by destroying the rich is most consistent with the philosophy of BLANK economy

Hyperinflation

An average monthly inflation rate of more than 50 percent

Communism

An economic and political system that calls for public ownership of virtually all enterprises, under the direction of a strong central government

Capitalism

An economic system -also known as the private enterprise or free market system- based on private ownership, economic freedom, and fair competition

Socialism

An economic system based on the principle that the government should own and operate key enterprises that directly affect public welfare

Representing the flow of resources through society

An economic system is a structure for what?

Increase more than 50% per month

An economy is experiencing hyperinflation when average prices of goods and services BLANK

Janet Yellen

BLANK is the current chairman of the federal reserve

Monopoly

BLANK is the market structure that is most likely to result in higher prices, lower quality and fewer choices for consumers

Drives higher quality and lower prices

Competition among businesses is BLANK

Communist

If I live in an economic and political system that calls for public ownership of virtually all enterprises under the direction of a strong central government I most likely live in a BLANK country

Less due to the increase price

If the cost of iced tea is more expensive during the summer months, consumers will buy BLANK

People, governments, and companies making in allocating resources

In the broadest sense, economics studies the choices that BLANK

Recession

In the business cycle, a period in which GDP declines for at least two conservative quarters is BLANK

An increase in the federal debt

The US congress has voted themselves pay increases while we are still under a budget deficit. The pay raise will generate BLANK

Economics

The study of the choices that people, companies, and governments make in allocating society's resources

Federal debt

The sum of all the money that the federal government has borrowed over the years and not yet repaid

Prices would decrease as competition increases in energy production

What would be the economic impact on energy prices if low cost solar power were to become a viable energy source?

Is the main way the govt ensures an equality of wealth in the US economy

the government laws against monopolies does what?