soc 720: Final

• What term describes the limited availability of human and nonhuman resources?

  scarcity
• Which is NOT a way to shield income from taxes?

  Increasing monthly government deductions
• What's a common result of a recession on individuals?

  Higher Unemployment
• When does economic growth hit its peak in the business cycle?

  Peak
• What problem does a state address by implementing earned income tax credits?

  Income Inequality
• Some argue that the economy and _________ are linked.

  Environment
• When it comes to the environment and the economy, what is debated?

  Whether EPA policies benefit or hurt personal economic growth.
• Which scenario demonstrates economic concepts in decision-making?

  Society adopting renewable energy
• How is cost-benefit analysis and marginal analysis used to assess economic issues?

  Comparing environmental policies
• What makes it hard for policymakers to invest in crisis readiness?

  Political focus on short-term goals
• How does political pressure influence pandemic responses?

  Leads to resource diversion and hoarding
• What must policymakers consider in pandemic decisions?

  Economic factors only, Political constraints only, and Health recommendations (all of these)
• How do political economists explain policy outcome discrepancies?

  Special interest pressure
• What's emphasized in political economy?

  Influence of politics on economic policies
• What happens with a credit score of 426 for a car loan?

  higher interest rate, Make credit score go down, Can't get a loan, (All of these)
• Choosing college over work means having to understand what?

  opportunity cost
• What's the term for paying extra to mitigate personal risk?

  Premium
• What is illustrated when a person diverts vacation savings for car repair?

  Trade-off
• What's the best loan type for college?

  Grant
• Why is a grant the best way to pay for college?

  No repayment rewuired
• What mortgage type was given for those unable to afford a house?

  Subprime Mortgage
• Which mortgage is the least expensive in the long run?

  Short-term fixed rate mortgage
• How does a Certificate of Deposit (CD) earn money?

  Compounds interest over time
• Which is an involuntary deduction from income?

  Payroll taxes
• How does investing make people welathy?

  Generates potential returns
• Why do most people try to make good economic decisions?

  Financial stability
• Debt accumulation

  Individual retirement accounts (IRAs)
• What caused the 2008 financial crisis?

  Government regulation failure
• Which two chairmen were criticized for the 2008 crisis?

  Alan Greenspan and Ben S. Bernanke
• What's cited as a main cause of the financial crisis?

  Failure to regulate derivatives
• What were the financial institutions' actions before the 2008 crisis began?

  Incompetent and risk-blind
• Which agency wasn't criticized for bank capital requirements failure?

  Securities and Exchange Commission (SEC)
• Which statement best characterizes the 2008 financial crisis?

  The result of human actions and inactions