Chapter 2 Flashcards

1
Q

Key Concept: Why are governments created?

A

governments are created to keep order in society and provide for the people’s common needs

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2
Q

Explain the difference between limited government and unlimited government.

A

Limited government is a structure in which government actions are limited by law; they work to protect the common good and provide for people’s needs.

In an Unlimited government, there are no effective limits on government actions. The government has all the power to make all decisions for a country or society.

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5
Q

Government

A

a group of people who have the power to make and enforce laws for a country or area..

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6
Q

What is the basic purpose of government?

A

keep order, provide services and protect the common good, or well-being of the people.

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7
Q

Give an example of “protecting the common good”

A

building roads and schools or defending the country from attack.

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8
Q

When & where did more complex governments first appear?

A

Southwest Asia more than 5,000 years ago.

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9
Q

What is Hammurabi’s Code?

A

a set of laws, carved in stone, created in ancient Babylon (now Iraq) around 1760 B.C.

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10
Q

what is a Constitution

A

a system of basic rules and principles by which a government is organized. It also identifies the powers a government has.

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11
Q

Is the U.S. a limited or unlimited government?

A

limited.

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12
Q

How do constitutions limit the powers of government?

A

Since the constitution can identify the powers of a government, it can be written to limit the powers of government

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13
Q

Are more governments today limited or unlimited?

A

More governments today are limited.

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14
Q

How has the purpose of government changed throughout history?

A

The purpose of government has not changed much throughout history

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15
Q

State

A

a region that shares a common government.

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16
Q

city-state

A

an independent state consisting of a city and its surrounding territory

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17
Q

empire

A

a state containing several countries.

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18
Q

True or False? Geographic features such as rivers or mountains sometimes helped governments control territory by protecting against invasion

A

TRUE

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19
Q

democracy

A

a form of government in which citizens hold political power; citizens are the ultimate source of government power and authority.

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20
Q

Direct democracy

A

citizens come together to pass laws and select leaders

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21
Q

representative democracy

A

citizens elect representatives to make government decisions

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22
Q

Are the powers of a democratic government limited or unlimited?

A

limited.

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23
Q

monarchy

A

a form of government in which the state is ruled by a monarch (a king or queen)

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24
Q

nation-state, define and provide an example.

A

a state that independent of other states, for example the U.S.

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25
Q

authoritarian

A

a type of government in which all power is held by a single person or small group.

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26
Q

communism

A

a common form of authoritarian government; a political and economic system in which government owns all property and makes all economic decisions.

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27
What is an autocracy?
ruled by a single person
28
what is an oligarchies
ruled by a small group of people
29
Do absolute monarch have limited or unlimited power?
unlimited
30
Constitutional monarchy
monarchs that are limited by law and share power with other branches of government
31
Which form of government relies most on its citizens?
The Democratic form of government relies most on its citizens because the citizens hold political power and are the ultimate course of government power and authority.
32
unitary system
a central government makes all laws for the entire country
33
federal system
power is divided among central, regional, and local governments. (e.g., United States)
34
confederal system
a group of independent states join together and give limited powers to a common government.
35
Most countries have a _____ system of government
unitary
36
Key Idea: political structures help governments operate in an organized way.
True
37
Key Idea: the United States government follows basic democratic principles
True
38
Central governments are responsible for ______ affairs
national
39
regional governments include ________ or _________ governments
state or provincial
40
authoritarian governments may seek to control all aspects of society, even people's actions and beliefs. For example,
some authoritarian governments limit citizens' use of communications technology such as the internet.
41
Key democratic principles:
1. government follows the rule of law.
46
Under the U.S. Constitution, power is divided among _______ branches of government.
Three branches of government
47
what are the three branches of government?
Legislative Executive Judicial
50
Legislative branch
establishes laws. imposes taxes
51
Executive branch
carries out and enforces the laws; provides for the country's defense, conducts foreign policy. Obama is the head of this branch
52
Judicial branch
makes decisions about disputes through courts of law. Interprets the law.
53
what is the highest court in the US called?
Supreme Court
54
Separation of power
when power is divided in a government
55
Why does the US Constitution establish a system of checks and balances?
to limit the power of each of the branch of government
56
citizen
a legal member of a country
57
civic life
activities having to do with one's society and community. e.g., voting is a right and a responsibility
58
Civic participation
taking part in government such as
59
What is the main source of American citizens' basic rights?
Citizens rights and responsibilities come from a number of sources such as constitutions, cultural traditoins and relgious laws. Americans' basic rights are protected by the Bill of Rights, a part of the US Constitution. The Bill of Rights and other laws protect rights such as freedom of speech and freedom of religion.
60
How do the roles and responsibilities of citizens vary between democratic and nondemocratic countries
Democratic citizens have a right and duty to participate in civic life, for example, by voting and keeping informed of local, state and national issues. Citizens in non democratic countries cannot take part in government or express their views openly.
61
Economics
the study of how people meet their wants and needs.
62
scarcity
having limited quantity of resources to meet unlimited wants
63
opportunity cost
the cost of what you hve to give up
64
demand
the desire for a certain good or service
65
supply
the amount of a good or service that is available for use.
66
producers
people or businesses that make and sell products
67
consumers
people or businesses that buy, or consume, products
68
incentive
a factor that encourages people to act in a certain way, for example, money is an incentive
69
entrepreneur
a person who combines resources to create new businesses market economies encourage these people to establish new businesses by giving them economic freedom
70
What are the three main factors of production?
Land and Resources Human Labor Human-made goods like buildings and tools
71
market-clearing price
the price at which demand equals supply
72
market
an organized way for producers and consumers to trade goods and services
73
profit
the money a company has left after subtracting the costs of doing business
74
revenue
the money earned by selling goods and services. (the price of resources affects revenue and profit. if resources become more expensive, the cost of making goods with them will also increase).
75
specialization
the act of concentrating on a limited number of goods or activities. (such as specializing in making peanut butter)
76
competition
the struggle among producers for consumers' money.
77
nonprofit organization
places that do not seek to make money examples are: churches, museums, hospitals
78
inflation
a general increase in prices of everything over time
79
recession
a decline in economic growth for six or more months in a row.
80
Does a person always need money to obtain goods and services?
No, they can barter for goods and services by trading other goods or services.
81
Primary industry
collects resources from nature e.g., farming and mining.
82
secondary industry
uses raw material to create new products e.g., manufacturing
83
tertiary industry | (third level of industry)
provides services to people and secondary industries. e.g., banking restaurants
84
quaternary industry | (fourth level of industry)
focuses on research and information e.g, education
85
Key Idea: Different societies have different types of economic systems.
True
86
Traditional Economy
an economy in which people make economic decisions based on their customs and habits. usually satisfy their needs through hunting or farming.
87
Market Economy
an economy in which individual consuemrs and producers make economic decisions. also called capitalism or free market
88
Command Economy or Centrally Planned Economy
an economy in which the central government makes all economic decisions.
89
Mixed Economy
an economy that combines elements of traditional, market and command economic systems.
90
Name two countries who have mixed economies that are close to pure market economies
US and Australia
91
Name two countries that have mixed economies that are close to pure command economies (where gov't owns and controls most businesses)
North Korea and Cuba
92
True or False: Every society has an economic system in which people make and distribute goods and services.
True
93
Name the four basic economic systems:
Traditional Market Command Mixed
94
Trade
the exchange of goods and servies in a market
95
Exports
goods and services produced within a country and sold outside the country's borders
96
Imports
goods and services sold in a country that are produced in other countries
97
Tariff
a tax on imports or exports
98
Give an example of a trade barrier
tariff
99
what is a trade barrier?
a government policy or restriction that limits international trade
100
free trade
the removal of trade barriers.
101
What is the advantage of free trade to consumers?
Free trade gives consumers lower prices and more choices
102
What is the disadvantage of free trade?
domestic producers can suffer if consumers prefer cheaper imported goods
103
Domestic trade
All of the buying or selling that takes place within a country
104
How much in DOLLARS did China export to the US for: household goods Computers Clothing and shoes
$58.4 BILLION for household goods $53.7 BILLION for computers $51.5 BILLION for clothing and shoes
105
How much in DOLLARS did US export to China for: ## Footnote Computers Aircraft Machinery
$8.6 billion for computers $7.5 billion for aircraft $7.2 billion for machinery
106
Budget
a plan that shows income and expenses over a period of time.
107
define saving
the act of setting aside money for future use
108
bank
a business that keeps money, makes loans and offers other financial services.
109
credit unions
non profit banks owned by their members.
110
Interest
the price paid for borrowing money
111
What is an incentive for people to save money?
Interest
112
Credit
an arrangement in which a buyer can borrow to purchase something and pay for it over time, such as by using a credit card. Also, an example is getting a loan
113
Investing
the act of using money in the hope of making a future profit
114
stock
share of ownership in a company
115
bond
a certificate issued by a company or government promising to pay back borrowed money with interest.
116
Mutual Fund
a company that invests members' money in stocks, bonds and other investments.
117
118
Risk and Return
The amount of money an investor might earn. In general the safest inestments offer the lowest rates of return. e.g., savings accounts is very safe but pays a low rate of interest. Stocks are riskier but can earn a great deal of money for an investor if they increase in value.... or they can decline in value and become worth less than the original purchase price.
119
There are two types of democracy: direct and representative. What kind of democracy is the United States?
Representative Democracy because we have elected officials to represent our interests in government.
120
what level of economic activity includes mining?
Primary industry
121
What level of economic activity includes manufacturing?
secondary industry
122
Compare and contrast how are the powers of an _unlimited government_ different from those of a _limited government?_
(anthea, answer this one)
123
How does the US government balance legislative, executive and judicial power?
(anthea answer this one)
124
Explain the relationship among revenue, profit and the costs of doing business.
_Profit_ is the money left over after the _costs of doing business_ have been subtracted. It's what you have at the end of the day after you pay all of your bills. _Revenue_ is the money earned by selling goods and services. When the _cost of doing business_ goes up, then your revenue goes down. When the cost of doing business goes down, then your profits go up.
125
What role does risk pay in investment?
In investing, usually the higher the risk, the higher the potential for earning profit or interest on the investment. Conversely, the higher the risk also means the investment could belose money. The lower the risk, the less chance you have of losing money, but you also earn relatively low, if any, rate of return. For example, you would earn little to no rate of return by placing your money in a traditional savings account.
126