Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
18 Cards in this Set
- Front
- Back
|
Functional distribution of income
|
Indicates how the nations earned income is apportioned among wages, rents, interest, and profits according to the function performed by the income receiver.
|
|
|
3 largest sources of household income
|
Wages and salaries, propertyincome, and corporate profits.
|
|
|
3 areas for personal consumption of household
|
12% durable goods
29% non-durable goods 59% services |
|
|
Durable, non-durable goods
|
Durable/ more than 3 years
non-durable/ less than 3 years |
|
|
3 areas of consumers expenditures
|
personal consumption expenditures
personal taxes personal savings |
|
|
3 forms of business organization:
|
Solo -proprietorship-
Unlimited liability easiest to start up limited life Partnership- share profits unlimited liability limited life Corporation- limited liability unlimited life costly to start owners can go corrupt |
|
|
stock and bonds
|
stocks are shares of ownership while bonds are promises to repay.
|
|
|
main functions of government
|
1)establish rules and laws for market
2)maintain competition in market, eliminate monopolies. 3)redistribute wealth through social-welfare programs. 4)providing public goods 5)stabilizing government |
|
|
monopoly
|
where a single seller controls an industry.
|
|
|
transfer payment
|
Provide relief to the destitute, the dependent, the disabled, and older citizens. Example: welfare
|
|
|
spillovers/externalities
|
a spillover occurs when the cost or benefits of a good are passed on to or "spill over to" someone other than the immediate buyer or seller.
|
|
|
to address economic stability, government must......
|
Address unemployment and inflation.
|
|
|
most federal government spending
|
1) pensions and income security
2) national defense 3) health 4) interest on public debt |
|
|
most federal government profit
|
1)personal income tax
2)payroll taxes 3) the corporate taxes |
|
|
main taxes of state
|
sales and excise taxes
state personal income tax |
|
|
maim expenses of state
|
education
public welfare health roards and construction public saftey |
|
|
main local taxes
|
property taxes
sales and excise taxes |
|
|
main local expenses
|
education
welfare public safety housing,parks, and sewage streets and highways |
