Economics EOC Study Guide

Name______Period___ Economics End of Course Study Guide This is due moments before the EOC. It is NOT extra credit. It is an assignment WORTH 30 Test Points. Define or describe each term listed.

Basic Economic Concepts 1. Economics

2. The four factors of production (list and define)

3. Production possibilities curve

4. Three basic economic questions

5. Traditional Economy

6. Command Economy

7. Market Economy

8. Scarcity

9. Voluntary exchange

10. Difference between marginal cost, opportunity cost and trade-offs.

11. Roles of Entrepreneur

12. Pillars of our (free market) economic system

Created April 2013 1 13. Adam Smith

14. Karl Marx

Supply & Demand 1. Law of Demand

2. Law of diminishing marginal utility

3. List the factors that shift the demand curve

4. Market equilibrium

5. Law of Supply

6. List the factors that shift the supply curve

7. Surplus Shortage

8. Price floor (Draw and explain)

9. Price ceiling (Draw and explain)

10. Marginal thinking

Created April 2013 2 Microeconomics 1. Advantages and disadvantages of Partnership

2. Advantages and disadvantages of Corporation

3. Advantages and disadvantages of Sole Proprietorship

4. Externalities

5. Monopoly

6. Perfect Competition

7. Oligopoly

8. Monopolistic Competition

9. Economies of scale

10. Collective bargaining (purpose of)

11. Free rider

12. Public goods

13. Common resources

14. Private goods

15. Diminishing marginal returns

Created April 2013 3 Personal Finance 1. Function of the Better Business Bureau

2. Difference between a bank and a credit union

3. Personal budget

4. The three types of withholding taxes

5. Stocks

6. Bonds

7. Mutual funds

8. FDIC

9. Consumer Reports

10. Factors that impact personal credit

11. Principal

Interest

12. Rate of return

Macroeconomics 1. Sources of federal revenue

2. Progressive taxes

3. Regressive taxes

4. Proportional taxes

5. Business cycle

6. Ability-to-pay principle

Created April 2013 4 7. Benefits-received principle

8. Inflation

Purchasing power

9. GDP per capita

10. Keynesian Economic Theory

11. Gross Domestic Product

12. Expansionary Fiscal Policy

13. Contractionary Fiscal Policy

14. Budget deficit

15. National debt

16. Expansionary Monetary policy

17. Contractionary Monetary policy

18. Functions of the Federal Reserve System

19. Tools of the Federal Reserve System

20. Ways to deal with inflation

21. Ways to deal with unemployment Created April 2013 5 Globalization 1. Comparative advantage

2. Absolute advantage

3. Protectionism:

a. tariffs b. subsidies c. quotas 4. Foreign policy and international trade:

a. sanctions b. embargoes 5. North American Free Trade Agreement

6. European Union

7. International Monetary Fund

8. World Trade Organization

9. World Bank

10. Causes of economic growth

11. Positive trade balance

12. Negative trade balance

13. Foreign currency exchange rate

14. Outsourcing

Created April 2013 6