Economics Flashcards
Cost
A burden that people believe they must bear if a policy is enacted
Benefit
A satisfaction that people believe they will enjoy a policy adopted
Majoritarian politics
Policy in which almost everybody benefits and almost everybody pays
Interest group politics
A policy in which one small group benefits and another small group pays
Client politics
It policy in which one small group benefits and almost everybody pays
Porkbarrel legislation
Legislation that gives tangible benefits to constituents in several districts or states in the hopes of winning their votes in return
Logrolling
A legislator supports a proposal favored by another in return for support of his or hers
Entrepreneurial politics
A policy in which almost everybody benefits and a small group pays the cost
Policy entrepreneurs
Activists in or out of government to pull together a political
Processed regulation
Rules governing commercial activities designed to improve consumer worker or environmental conditions also called social regulation
Deficit
What occurs when the government in one year spends more money than it takes in from taxes
National debt
The total deficit from the first presidency down to the president
Gross domestic product
The total of all goods and services produced in the economy during a given year
Monetarism
The belief that inflation occurs when to much money is chasing too few goods
Keynesianism
Theory that in the short run and especially during recessions, economic output is strongly influenced by aggregate demand
Economy planning
The belief that government plan such as wage and price controls or the direction of investment can improve the economy
Supply-side theory
The belief that lower taxes and fewer regulations will stimulate the economy
Reagonomics
The belief that a combination of monetarism low federal spending and supply side economics will stimulate economy
Monetary policy
Managing the economy by altering the supply of money and interest rates
Fiscal policy
Managing the economy by the use of tax and spending laws
Budget
A document that states tax collections spending levels and the allocation of spending among purposes
Fiscal year
For the federal government October 1 to the following September 30
Budget resolution
I congressional decision that states the maximum amount of money the government should spend
Entitlements
A claim for government funds that cannot be changed without violating the rights of the claimant
Sequester
Automatic spending cuts
Charitable choice
Name given to the four federal laws passed in the late 1990s specifying the conditions under which nonprofit religious organizations could complete minister certain social service delivery and welfare programs
What are the major social welfare programs
Old age survivors and disability insurance Medicare Assistance or non-contributory programs unemployment insurance Temporary assistance for needy families Supplemental security income Food stamps Medicaid Earned income tax credit
What is old age survivors and disability insurance
The payments to retired or disabled people and to surviving members of their families. This program popularly called Social Security is paid for by a payroll tax on employers and employees. No means test
Medicare
Federal government pays for part of the cost of medical care for retired or disabled people covered by Social Security. Paid for by payroll taxes on employees and employers. No means test
Assistance or noncontributory programs unemployment insurance
Weekly payments to workers who have been laid off and cannot find work. Benefits and requirements determined by states paid for by taxes on employers
Temporary assistance for needy families
Payments to needy families with children. Replaced the old AFDC program. Partially paid for by the block grants for the federal government and the states. Means test
Supplemental security income
Cash payments to H blind or disabled people whose income is below a certain amount. Paid for from general federal revenues. Means test
Food stamps
Doctors given to people whose income is below a certain level that can be used to buy food at grocery stores. Paid for out of general federal revenues. Means test
Medicaid
Pays medical expenses of persons receiving T ANF or SSI payments. Means test
Earned income tax credit
Pays a cash subsidy or tax credit to poor working families. Means test
Insurance program
A self financing government program based on contributions that provide benefits to unemployed or retired persons
Assisted program
A government program financed by general income taxes that provides benefits to poor citizens without requiring contribution from them
Means test
And income qualification program that determines whether one is eligible for benefits under government programs reserved for lower income groups
Earned income tax credit
The provision of a 1975 law that entitles working families with children to receive money from the government if their total income is below a certain level. The program was expanded in the early 1990s
Service strategy
A policy providing poor people with the education and job training to help lift them out of poverty
Income strategy
A policy giving poor people money to help them lift out of poverty
Political agenda
Issues that people believe require governmental action
