 | Term | Definition |
| |
Public Policy Process |
The political interactions that lead to the emergence and resolution of public policy issues |
| |
Laissez-Faire Doctrine |
The ______ doctrine holds that private individuals and firms should be left alone to make their own production and distribution decisions |
| |
Efficiency |
The relationship of inputs to outputs |
| |
Externalities |
External economic costs |
| |
Deregulation |
The rescinding of regulations already in force for the purpose of improving efficiency |
| |
Equity |
______ occurs when an economic transaction is fair to each party. It is judged by outcomes |
| |
Deficit Spending |
The government spends more than it gets from taxes |
| |
Economic Depression |
An exceptionally steep and sustained downturn in the economy |
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Economic Recession |
A less severe economic downturn than a depression |
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Demand-Side Economics |
When the economy is sluggish, the government can increase its spending, thus placing more money in consumers' hands |
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Budget Deficit |
More expenses than income (revenue). |
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National Debt |
The total cumulative amount that the U.S. government owes to creditors |
| |
Balanced Budget-Budget Surplus |
The federal government receives more in tax and other revenues than it spends |
| |
Supply-Side Economics |
______ emphasizes the business (supply) component of the supply-demand equation |
| |
Capital-Gains Tax |
The tax that people pay on gains in capital investments (property, stocks, etc...) |
| |
Inflation |
An increase in the average level of prices of goods and services |
| |
Graduated Personal Income Tax |
The tax rate goes up substantially as income rises |
| |
Monetary |
______ policy is based on manipulation of the amount of money in circulation |
| Add or remove terms from this set |
