Econ U2 Quizzes

private

"...nor shall ____ property be taken for public use, without just compensation."

oligopoly

An ____ occurs when there are few competitors and high barriers to entry within an industry.

unit of account

An agreed-upon scale of worth for goods is a ____.

e-cash

An electronic version of paper money that is becoming more popular is called ____.

invention of "flying money"

Chinese merchants stored money in one place and used it in another.

Congress and the President

Fiscal policy is the responsibility of ____.

fiat money

The money that is established by law to be money is called ____.

regulate how much money is in circulation in order to influence the economy

The power of creating monetary policy is the power to ____.

profit

The pursuit of ____ is legitimate because entrepreneurs assume the risk of a business and need to provide for themselves and their families.

currency

Paper money and coins are ____.

it was not answerable to the public and had become too powerful

President Andrew Jackson wanted to get rid of the Bank of the United States because ____.

emergence of artisan bankers

Space inside safes was rented to others in order to protect gold.

it established that the government has a right to regulate the economy

The importance of the Sherman Antitrust Act of 1890 is that ____.

make profit in the sale or operation of private property

The importance of the right to private property is the ability to ____.

the consumers

The key to the market economy is that basic economic decisions are ultimately made by ____.

perfect competition

____ creates the best environment for consumers' freedom and security.

expansionary fiscal policy

A ____ encourages economic growth through tax cuts, a decrease in industrial regulation, increased government spending, or a combination of factors.

balanced budget

A ____ exists when government revenues and expenses are the same.

stimulus

A ____ is an increase of circulated money that is meant to stimulate economic growth.

check

A ____ is not money, but merely authorizes banks to transfer money.

medium of exchange

A ____ is something accepted in return for a good or service.

budget surplus

A ____ is the economic condition that exists when the government takes in more taxes than they expend.

time deposit

A ____ pays higher interest but restricts when funds may be withdrawn.

factors

A free market economy allows citizens to control the ____ of production.

the Soviet Union

A lack of property rights contributed to the economic demise of ____.

settling a debt

A means of payment is a way of ____.

cut expenditures

A method of fixing a budget deficit is for the government to ____.

October 1st

Congress and the President are responsible for passing a federal budget before ____ of each year.

choose

Consumers have the right to ____ what to buy in a market economy.

reserve

During the 2008 financial crisis, the Fed reduced ____ requirements and lowered the discount rate to encourage growth.

creation of the Federal Deposit Insurance Corporation

If a bank closed, American depositors' money was guaranteed.

sell securities in the open market

If the Fed wanted to slow down inflation, it would ____.

incentive

If there are no private property rights, people have no ____ to invest or work.

reasonable prices and consumer choice

In a market or free enterprise economy, competition ensures ____.

commercial bank

In order to operate, a ____ must be authorized by the Comptroller of the Currency of the US Department of Treasury.

Fifth Amendment

In which amendment can one find the "Takings Clause"?

Mesopotamia

In which part of the world can one find the first evidence of banking-like institutions?

introduction of the Gramm-Leach-Billey Act

Insurance and securities companies were allowed to offer banking services.

it ended harmful monopolies and created the Federal Trade Commission

The Clayton Antitrust Act differed from the 1890 law in that ____.

inflation

The Fed's move to put more money into circulation in response to the 1969 recession led to ____ during the 1970s and 1980s.

policy

The Federal Open Market Committee sets economic ____ that runs the economy.

New York

The Federal Reserve bank responsible for beginning all Fed policy is based out of ____.

legal monopoly

The National Football League enjoys a ____.

provides fair payment for the property

The Takings Clause allows the government to practice eminent domain, or the taking away of property if the government ____.

federal budget

The ____ is an annual document created by Congress detailing government taxes and spending.

Progressive

The ____ movement was instrumental in the creation of the Federal Reserve System

store of value

The ability of money to hold its worth is a measure of its ____.

monopoly

The absence of any competition within a particular market of a good or service is a ____.

own their own business

The free enterprise system is based primarily upon the right of Americans to ____.

medium of exchange, store of value, and unit of account

What are the functions of money?

a new business created by an entrepreneur

What is a startup?

skill

What is the major obstacle for Americans to own their own business?

the amount of gold and silver devalued the worth of the world supply of the materials

What was the impact of the gold and silver the Spanish and Portuguese discovered in the Americas during the 1500s?

it gave the government more power in practicing eminent domain

What was the significance of the Supreme Court case Kelo v. New London (2005)?

discretionary fiscal policy

When Congress creates an act that affects fiscal policy, it is considered ____.

late 1800s

When did the US government begin its involvement in the economy?

natural monopoly

When one company can offer a product at a lower price than other companies due to some advantage, it is said it can create a ____.

competition

When there is a lack of ____, businesses are more likely to take advantage of consumers

the right to make consumers pay

Which answer is NOT a component of the free enterprise economy?

the Revolutionary War

Which event led to a more centralized banking system in the new United States?

an increase in welfare spending because more people qualify for benefits

Which government move would be an example of automatic fiscal policy?

your first credit card

Which of the following would NOT be an example of money?

savings bank

Which of the following would be an example of a thrift institution?

the economy as a whole fluctuating much more unpredictably

Which of these are the long-term effects of the total elimination of the gold standard?

it only serves a certain group of people

Which of these differentiates a credit union from other financial institutions?

Richard Nixon

Which president was responsible for eliminating all connection between the dollar and gold?

an identification card to approve transfers

Which role do credit and debit cards play when they are used to make a purchase?

decrease in government spending

Which would be an example of contractionary fiscal policy?

Woodrow Wilson

Who was repsonsible for the creation of the Federal Reserve System?

Roman Catholic Church

Who was the major obstacle to the spread of banking in Europe during the 1500s?