Government and Economics Unit 7 Test: Business and You
Most regulations aid which group(s)?
-Business Employees -Business Consumers
Select the five dangers of a monopoly.
-Higher prices -No rival competition or alternative markets -Limitation or elimination of certain goods -Lower quality -Poor service and attitude
Mark the boxes that are TRUE.
-The Food and Drug Administration assesses all foods and drugs consumed. -The Centers for Disease Control and Protection are tasked with preventing and controlling disease, injury, and disability. -The Federal Aviation Administration regulates the airlines. -The Securities and Exchange Commission regulates the stock market. -The Federal Communications Commission regulates radio and television to the extent of licensing stations and policing programming.
Which answer is NOT TRUE?
At the local level, businesses must meet government-set billing rates.
A_______and the Federal Open Market Committee oversee the operation of the Fed.
Board of governors
_______was the first state to undertake the restructuring of the electric utility industry on a state-wide basis.
California
A ________ bankruptcy involves the debtor reorganizing his/her debts.
Chapter 13
In 1914 the_______prevented a merging of corporations to have intertwined boards of directors.
Clayton Antitrust Act
Paul wrote, "And, ye masters, do the same things unto them, forbearing threatening: knowing that your Master also is in heaven; neither is there respect of persons with him" ( ________ 6:9). Management by fear has no place in Christian management.
Ephesians
What is the chief principle in the Biblical passages (Leviticus 19:13 and Deuteronomy 24:14-15) on management?
Fairness
A Chapter 12 bankruptcy is known as a "straight liquidation."
False
In a bankruptcy, the priority debts -- the debts that the court feels should be paid first -- are paid, then the unsecured debts are added up.
False
discount rate
Fed reserve-set interest rate to determine the amount needed to pay back the loan.
An important part of a Christian's obligation as manager is to be fair to his workers. "Thou shalt not defraud thy neighbor, neither rob him: the wages of him that is hired shall not abide with thee all night until the morning"(_______19:13).
Leviticus
Jesus taught financial responsibility to the government. The passage is found in ________ 17:27.
Matthew
Entrepreneurial management or Operational management? Is concerned with the day-to-day activities and decisions of a company.
Operational management
The actual money's worth for buying products is called
Purchasing power
inflation
a continuing increase in prices and weakening of the purchasing power of money.
government securities
a government investment in businesses, guaranteeing repayment
consumer protection law
a governmental regulation; a mandate which is instituted to safeguard the purchaser
mega-merger
a huge union of large corporations or utilities
unsecured debt
a promise or obligation to pay to another a certain amount of money which has no collateral.
_______is acting within the good principles of society and within the accepted rules of proper behavior.
acting ethnically
reserve requirements
amount of money the Fed needs to have as a balance
Sherman Antitrust Act of 1890
anti-monopoly act awarded victim of a monopoly three times amount his business lost
hubs
central points of business
It is the manager's job to_______the wishes of top management in such a way as to motivate employees to carry out these wishes.
communicate
Inflation hurts creditors, but it helps:
debtors
Deregulation is about_______rates and_______supplies.
decreasing, increasing
Some businesses have stricter guidelines, even have their prices regulated. These price-regulated businesses are normally monopolies like
electric companies
licensing
granting of official permission to perform a business.
technological advance
growth through successful scientific research and strength
price-setting standard
guidelines for controlling costs and expenditures by the consumer
The Fed is a(n)_______agency of the United States government.
independent
Inflation =_______money + Fewer goods.
more
secured debt
obligation to pay to another a certain amount of money which has collateral that the creditor may seize.
monopoly
one company or even a small group of cooperating companies has control of the supply of a product
The Fed manages the country's money in three main ways. Which practice is described below? The government is able to regulate the amount of money available to banks for lending through the purchase and sale of government securities, such as savings bonds.
open-market operations
The real test of an entrepreneurial decision is if there is a recognizable
profit or loss
restructuring
realigning or adjusting to meet new qualifications or needs
A deduction from a full purchase amount that is repaid to the consumer is called a
rebate
regulations
restrictions and rules governing business conduct.
zoning laws
specific district allowances and restrictions, usually governing the flow of business.
fire codes
specifications and safety measures required for buildings.
The purpose of deregulation is to open up the doors of competition to many businesses in order to offer consumers greater choice in purchasing services or products, to lower rates, and to encourage_______through competition.
technological advances
bankruptcy
the act of being declared legally insolvent.
deregulation
the dropping or relaxing of restrictions and limits
financial obligation
the responsibility to pay debts and due notes
lien
the right to take, sell, or hold property as security or payment of a debt.
Title 11
the section of the U.S.Code which deals with the rules and procedures of Bankruptcy
proponents
those that are in support of something
service
work done for others
