1.6 Flashcards
1
Q
Monopolistic Competition
A
Market in which many sellers supply different products
2
Q
Oligopoly market
A
Few sellers supply large portions of all the products sold in the marketplace (few sellers). Each seller supplies a large portion of all the products sold in the marketplace
3
Q
Goal: growth
A
GDP
4
Q
Goal: high employment
A
Unemployment rate
5
Q
Goal: price stability
A
Consumer price index
6
Q
Monetary policy
A
Efforts exerted by the fed to regulate the nations money supply
7
Q
Fiscal policy
A
Governmental use of taxation and spending to influence economic conditions
8
Q
Monetary policy: recession
A
+ money supply
- interest rates
+ borrowing
9
Q
Monetary policy: inflation
A
- Money supply
High interest rates - borrowing
10
Q
Fiscal policy: recession
A
+ money supply
- interest rates
+ borrowing
11
Q
Fiscal policy: inflation
A
- Money supply
High interest rates - borrowing
