Study sets, textbooks, questions
Upgrade to remove ads
Anthr 171 Exam 2
Terms in this set (13)
How many people in the United States have taken out student loans to pay for college?
Over 40 million people
What have you created every time you charge something to your credit card?
What material symbol defines what is important in life for most people in Western Europe and the United States?
What is fiat money?
money that is backed by nothing other than a government decree that it be accepted for the sale of good or services or the settlement of debt
What is commodity money?
money that is backed by something of worth, such as gold or silver
What is credit money?
money that is created by loans
Because money is created as debt and because debt requires repayment with interest, every dollar created through debt must generate itself and the additional interest on the debt. Once an economy allows people or institutions to make money with money- through loans at interest, the money or through other financial instruments- perpetual economic growth becomes a necessity to avoid economic collapse
How is credit money essential to current economics in the US?
Why is perpetual economic growth necessary in a modern market economy?
perpetual economic growth is necessary because without growth money becomes less and less valuable which will eventually lead to collapse of economy.
What is Capital Conversion?
the transformation of something that has no monetary value into something that can be bought and sold in the market
How do Capital Conversion work?
for an economy to grow, there has to be a constant transfer of things and activities into the monetary sphere. (things need to be created to sell to give people something to buy)
Who was Karl Polanyi and What did he argue in terms of the market in the US?
Economist who termed "the great transformation" which was the industrial revolution
argued that the market would soon destroy the very foundation of society; working out that dilemma was one of the major driving forces of history since the early 19th century
What does the term Neoliberal mean in terms of the US Market?
Neoliberal is an economic philosophy that argues for minimal government involvement in the economy and greatly accelerated economic growth. Well-being is best served by liberating individual entrepreneurs to operate in a framework of strong property rights, free market, and free trade.
What policies do neoliberal economics support in terms of government subsidies?
Sets with similar terms
Econ Final exam
Civics - Chapter 24 (Money and Banking)
Basic Economic Terms
Other sets by this creator