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Economics

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Ramon Anderson

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Term1/13
What does a good credit history do for consumers
Definition1/13

It makes it easier for them to get loans.

Term1/13
Why is a fractional reserve banking system necessary
Definition1/13

To enable banks to loan out money to make a profit

Term1/13
Why are student loans usually guaranteed by the government
Definition1/13

Banks don't have any collateral for student loans.

Term1/13
The non-monetary considerations that affect consumers' decisions are often based on what
Definition1/13

Values and beliefs

Term1/13
Under a fractional reserve banking system the amount of money loaned out can only increase if what happens
Definition1/13

The required reserve ratio is lowered.

Term1/13
What is most likely to push the price of a company's stock higher
Definition1/13

An increase in demand for the company's stock

Term1/13
Companies use offshoring in order to do what
Definition1/13

Reduce labor costs

Term1/13
When does Country A have a comparative advantage over Country B in the production of televisions
Definition1/13

Country A has a lower opportunity cost for producing televisions.

Term1/13
The government sets a price floor in order to protect what
Definition1/13

A vulnerable industry

Term1/13
In an economic system decisions need to be made about productive resources and which of the following
Definition1/13

Allocation

Term1/13
What is disclosed in APR
Definition1/13

APR is annual percentage rate. That rate would be stated in the APR.

Term1/13
What is a not a way the fed can generate an increase in the money supply
Definition1/13

Cutting taxes

Term1/13
Which of the these options for saving money typically offers the most liquidity
Definition1/13

basic savings account

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Cards in this guide (13)
What does a good credit history do for consumers

It makes it easier for them to get loans.

Why is a fractional reserve banking system necessary

To enable banks to loan out money to make a profit

Why are student loans usually guaranteed by the government

Banks don't have any collateral for student loans.

The non-monetary considerations that affect consumers' decisions are often based on what

Values and beliefs

Under a fractional reserve banking system the amount of money loaned out can only increase if what happens

The required reserve ratio is lowered.

What is most likely to push the price of a company's stock higher

An increase in demand for the company's stock

Companies use offshoring in order to do what

Reduce labor costs

When does Country A have a comparative advantage over Country B in the production of televisions

Country A has a lower opportunity cost for producing televisions.

The government sets a price floor in order to protect what

A vulnerable industry

In an economic system decisions need to be made about productive resources and which of the following

Allocation

What is disclosed in APR

APR is annual percentage rate. That rate would be stated in the APR.

What is a not a way the fed can generate an increase in the money supply

Cutting taxes

Which of the these options for saving money typically offers the most liquidity

basic savings account

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