SAM Flashcards
1
Q
Scams
A
are traps to dishonestly take a persons money.
2
Q
Identify theft
A
specific type of fraud, which involves stealing money or gaining other benefits by pretending that you’re someone else.
3
Q
Credit cards
A
issued by a financial institution, usually for an annual fee. It enables a consumer to spend up to a predetermined level cards holders receive a monthly statement and can pay back the debt in full or part which incurs interest.
4
Q
Credit rating
A
a judgement of how likely you are to pay money back if you borrow or buy things on credit.
5
Q
What is superannuation
A
money that you put away during your working life for retirement that you receive from your employer (currently 11.5% of your wage). The limit is 27,000 a year and if you don’t have enough by the end of your career, you will receive a pension.
6
Q
Traps of buy now pay later schemes
A
- easier to spend
- fees can add up
- it might affect loan application
- it can be hard to manage
7
Q
Consumer rights when purchasing goods and services
A
A consumer is entitled to have goods repaired, replaced or money returned if there is a major problem with a good or service. It is illegal for a business to not offer a refund or return.
8
Q
Cash budget
A
is a financial plan that shows expected future receipts and expected future payments over a given period of time.
9
Q
Benefits of a budget
A
- manage your money so that you can purchase goods and services without getting into financial difficulties or stress
- manage your spending so that you have money aside for a purchase like a car
- reflect your spending habit and find areas where you might be spending too much
10
Q
Disadvantages of credit cards
A
- interest
- if you only pay the minimum payment interest will increase
-can promote impulse spending
11
Q
Types of scams
A
Charity scams - scammer poses as a charity worker and convinces the individual to make a donation
Computer malfunction scams - scammer informs individual that their computer is not operational and they can fix it immediately
Romance scams - scammer takes advantage of someone looking for romance
12
Q
Unemployment
A
Unemployment is a situation where people who are willing and able to work are unable to find employment
13
Q
Who measures unemployment
A
The unemployment rate is measured by the Australian Bureau of Statistics (ABS) using Labour Force Surveys. The Labour Force Survey is conducted monthly and involves 0.45% of the population. This survey sample is selected from around the country.
14
Q
Labour force includes
A
Employed
Unemployed
15
Q
Employed
A
Employed -
a person is classified as employed if they work more than one hour per week; and receive an income or profit (i.e not volunteer work); if they work in a family business; or if they have a job but cannot work due to illness, strikes or holidays during the survey week
16
Q
Unemployed
A
Unemployed -
a person who does not have a paid job who is actively looking for work (completing job applications, registered with Centrelink) in the week prior to the survey.
17
Q
Calculating the unemployment rate
A
The unemployment rate is the percentage of people who are in the labour force and actively seeking work, but do not have a job.
Number of people in the labour force
x 100/1
18
Q
Non-Labour force
A
The Non-Labour force is made up of all those people who are over the age of 15, who are not working or not seeking work. For example students, retired people, some disabled people, volunteer workers and those who chose not to work such as parents who stay at home to raise children.
19
Q
Limitations of the unemployment rate (1)
A
Unemployment rate ignores hidden unemployment - that is discouraged job seekers (people not actively looking for work as they have become discouraged - maybe because they have been looking for a long time and can’t find anything) are not classified in the labour force. Therefore statistics underestimate the extent of unemployment
20
Q
Limitations of the unemployment rate (2)
A
Unemployment rate ignores underemployment - those working below capacity eg part time workers who what to be full time. Therefore statistics underestimate the extent of unemployment
21
Q
Limitations of the unemployment rate (3)
A
Misleading survey answers - when responding to a survey about employment, it is possible that some people provide misleading responses in fear of losing benefits if they respond by saying they have completed some work during the period or if found out they were not looking for a job. This may therefore exaggerate the unemployment figures
22
Q
Limitations of the unemployment rate (4)
A
Statistical problems - Small sample size & imputed data such as recent flooding in NSW & Qld impacting
23
Q
Cyclical Unemployment
A
Occurs when the level of spending in the economy falls. When consumers or businesses feel pessimistic about the economy they tend to save rather than spend. This leads to reduced spending, reduced production and hence a reduced need for labour.
24
Q
Structural Unemployment
A
Structural unemployment occurs as a result of changes in the way goods and services are produced.
Another cause of structural unemployment is outsourcing. This is when one section or department of a business is closed and its work is done overseas.
Higher wages could also lead to increased structural unemployment.
25
Seasonal Unemployment
Seasonal unemployment results from the termination of jobs at the same time each year due to the regular change in seasons.
Common examples of these types of jobs include - fruit picking, tourism, working for holiday operators, sheep shearing and working in the ski fields
26
Frictional Unemployment
Frictional unemployment occurs when people are unemployed between finishing one job and starting another. This is common in the building trades and acting.
27
Recession
Two consecutive quarters of negative economic growth is referred to as a recession.
28
Long Term Unemployment
Long term unemployment refers to those people who have been unemployed for 52 consecutive weeks or longer - i.e 1 year or more
29
Youth Unemployment rate
8% (approximately double unemployment) For 15-24 year olds.
30
Unemployment rate
4.1%
31
Living standard
Living standards refer to how well off or prosperous individual and the nation are overall. It includes both material well being and non material well being.
32
Material wellbeing
Material well being refers to the enjoyment received from access to goods and services. As output is increased, there are more goods and services available and therefore material living standards increase.
33
Non-material wellbeing
Non material well being refer to the quality of life which is not related to the size of income or the quantity of goods and services consumed. Examples include; the quality of human relationships, the state of the natural environment, crime rates, amount of leisure time, education levels and health are all important aspects of the quality of life.
34
Unemployment effect on individuals
Reduced income - unemployment benefits are generally lower than income and sometimes lifestyle changes need to occur because of this.
Lower self image - feelings of personal failure because of loss of status and sometimes friends. Non-material living standards fall.
Less healthy - sometimes there can be higher incidence of health problems (nervous disorders, heart disease). Non-material living standards fall.
35
Unemployment effect on businesses/society
Increase in crime and vandalism - increased social unrest. Especially true for unemployed youth.
Non-material living standards fall.
Increase in incidences of family breakdown. Non-material living standards fall.
Flow on effect; if individuals become unemployed, their reduced income causes them to spend less. Less consumer spending means businesses don’t need as many staff or buy as many materials. Then suppliers don’t need as many staff.
36
Unemployment effect on government
Less revenue collected from income tax as there are less income earners. More people will need the Aged pension.
The budget usually moves into deficit (less receipts than payments). This may force the government to borrow money which in turn adds to the national debt.
37
International trade -
Is the exchange of goods and services between countries
38
Exports -
Exports are goods and services that are produced in one country and sold to buyers in another. Australian examples include iron ore & education services to international students.
39
Imports -
An import is a good or service produced abroad but then sold and consumed in your country. Australian examples include manufactured goods such as televisions, clothes and cars.
40
Bilateral relationships -
is the exchange of goods between two nations promoting trade and investment. The two countries will reduce or eliminate tariffs, import quotas, export restraints, and other trade barriers to encourage trade and investment. For example Australia pursues bilateral relationships with a range of countries in order to promote shared interests and deal with shared challenges. Australia’s international engagement focuses on those countries with the greatest bearing on its strategic and economic outlook.
41
Tariffs -
is a tax imposed by one country on the goods and services imported from another country. For example On 19 May 2020 China imposed a combined 80.5% tariff on Australian barley that we export.
42
Trade Benefits for Australia
1. Trade promotes economic growth and raises household incomes
2. Trade creates and supports Australian jobs
3. Trade makes products cheaper for Australian households and businesses
4. Trade gives consumers and business greater choice
5. Trade opens the global market for Australian products
43
Trade Costs for Australia
1. Dependency on other countries
2. Countries may be forced into conflicts
4. Local unemployment & Small companies may go out of business
44
Applying for credit
1. stable income
2. stable employment
3. think about spending habits
4. how much debt you have
45
Advantage of paying more than the minimum on a credit card
Less interest
Good credit rating
Pay it off faster
46
Limitations of ABS survey results
Hidden unemployment
Small sample size
47
Bi-lateral relationships
Trading with another country for mutual benefit. Tariffs are usually eliminated or reduced.
48
What went wrong in our trade relationship with China?
excluding Chinese company Huawei from supplying technology for Australia’s 5G networks.
the Australian Prime Minister, Scott Morrison, expressing a willingness to investigate China’s responsibility for COVID-19.
the Australian Treasurer, Josh Frydenberg, preventing China Mengniu Dairy from acquiring the Australia-based, Japanese-owned, Lion Dairy and Drinks.
Australia siding with the USA over Taiwan
49
The World Trade Organisation (WTO)
is the international organisation whose primary purpose is to open trade for the benefit of all.
50
Criminal law
If person has committed an offence against the well being of the community. It includes offences against:
The state, such as terrorism or sabotage
A person, such as murder or assault
Property, such as theft or damage
Public order, such as traffic offences, tagging and abusive language
51
Civil law
Civil Law is concerned with cases in which there is a dispute between private individuals. For the purposes of the law, a corporation or a company is considered to be an individual.
The court hears civil cases in order to preserve/restore the rights of individuals and settle the dispute.
The injured party, who has had the wrong done to them, is called the plaintiff
52
Examples of civil law include:
Defamation
Protect your reputation
53
Examples of civil law include:
Negligence
Protect yourself
54
Examples of civil law include:
Trespass
Protect your property
55
Examples of civil law include:
Nuisance
Right to enjoy your property
56
Closed court
Children's court is always closed
Assault is partially closed
57
The standard of proof in criminal law & whos involved
Beyond reasonable doubt
Prosecution and defendant
58
The standard of proof in civil law & whos involved
On the balance of probability
Plaintiff and defendant
59
Which is the highest federal court
High court
|
Federal = family court
60
Hierarchy of Victorian courts
Supreme
|
County
Coroners - magistrates - children's
| | |
61
Coroner’s Court
* Presided over by a Magistrate
* Purpose is rehabilitation, not punishment.
* Always closed to the public
* Has jurisdiction to hear and determine cases involving children and young people including criminal and child protection matters
* Split into Criminal and Family divisions
* Criminal Division - where defendant is 10 - 18 years old when the crime was committed and under 19 when the trial occurs
* Family Division - cases for children 0 - 17 years of age who are in need of care and protection as the child is at risk through;
- Being ill treated or abused
- Being abandoned
- Having no one to look after them
62
Children’s Court
Investigates unexpected or suspicious deaths, including all deaths from fires and drownings.
This is to find out - the identity of the person who died,
-the cause of the death or the fire and in some situations,
-the circumstances surrounding the death or fire.
Is presided over by a Coroner. There are about 13 Coroners in Victoria
Tries to identify cause of death - can recommend that people get charged but does not lay charges.
Makes recommendations to the government for new laws eg; pool fences due to many deaths of children in backyard pools.
63
Jury (including number of jurors) in CRIMINAL
For all cases in the County and Supreme Courts there are 12 jurors
64
Jury (including number of jurors) in CIVIL
Only if one party requests a jury - it consists of 6 jurors
65
Supreme court
This court is presided over by a judge.
It hears indictable criminal offences such as murder, manslaughter and terrorism.
It has a jury of 12 for all criminal trials.
It hears civil cases where the plaintiff is seeking large amounts of money (often millions) called damages for the injury/harm they have suffered.
It hears Civil appeals from the Magistrates’ court.
Appeals from this court are heard in the Supreme Court of Appeals.
66
County Court
It hears indictable criminal offences such as serious assaults, drug trafficking, sex offences and dangerous driving causing death.
It hears civil cases where the plaintiff is seeking large amounts of money -over $100,000
About 15% are Jury trials. About half are found guilty and half are acquitted.
About 10% of cases are Criminal appeals from the Magistrates’ court. No civil appeals
67
Bail
Is the release of an accused person back into society while awaiting trial.
68
Remand
To hold a person in custody while awaiting trial.
69
Committal hearing
Heard in the Magistrates’ Court. The Magistrate has to decide whether the accused (who has pleaded not guilty) for a serious criminal offence should be sent to stand trial in the County or Supreme Court.
70
Benefits of a Court Hierarchy
(Specialisation)
The courts are ranked in order of importance according to types of cases they hear.
71
Benefits of a Court Hierarchy
(Precedent)
Higher court makes a decision that is binding on lower courts in the same hierarchy
72
Benefits of a Court Hierarchy
(Rights of appeal)
Can appeal to a higher court, provides fairness and allows for mistakes to be corrected
73
Appeals
An Appeal is a request to a higher court to review a decision made by a lower court.
The highest court of appeal in Australia is the High Court in Canberra.
**On what ground can Appeals be heard?**
Appeal against the conviction based on question of fact.
Appeal against the conviction based on a question of law.
Appeal against severity of sentence.
74
How a Law is made
(Parliament)
Democratically elected and representative bodies that make laws in the form of acts or statutes. **Statute** law is made by Parliament.
75
How a Law is made
(Common law)
Laws that come from decisions made by judges in courts.
76
Summary offences
Less serious criminal offences are referred to as Summary offences
- eg speeding, littering etc. They are usually heard in the Magistrates’ Court.
77
Indictable offences
Indictable offences - these are serious criminal offences that are heard
before a judge and jury in the County or Supreme courts. Examples are armed robbery, culpable driving, rape and homicide
78
Plaintiff
The party who brings a legal action or in whose name it is brought—as opposed to the defendant, the party who is being sued.
79
Damages
Damages is a sum of money which is awarded by the courts for the purpose of replacing the monetary value of property or rights which have been lost or damaged, or to cover expenses, loss, pain and suffering relating to a victim's injury or death. Damages is a form of compensation.
80
Differences between criminal and civil cases
Criminal Law means the State brings the action. This is where you are punished for illegal behaviour, and the standard of proof is 'beyond reasonable doubt'. Civil Law means an individual or 'plaintiff' brings the action.
81
Roles of juries in criminal and civil trials
Based on the principle that people should be tried before their peers
Is used in all serious criminal trials and some civil trials (if requested by one of the parties) in the County or Supreme Courts
Main job of the jury is to decide the facts - ie who should be believed
In criminal trials, need either unanimous decision of all 12 for very serious cases or 11 out of 12 for less serious cases - they decide whether accused person is guilty or not - beyond reasonable doubt.
82
Juries - who is on them?
The jury is made up of ordinary people (members of the general public), randomly selected from the Electoral roll (this means they must be an Australian citizen, 18 years and older)
83
Australian Constitution and referendums. How are referendums passed
The Australian Constitution sets out how Australia is governed, outlining the authority, powers and responsibility of the Federal and State Governments.
For a referendum to be successful and the alteration to the constitution to be passed, a double majority vote must be achieved, which is: a majority of voters in a majority of states (at least four of the six states) a national majority of voters (an overall YES vote of more than a 50 per cent).
84
Responsibilities of the three levels of government
**Federal government** - located in Canberra
foreign affairs, social security, industrial relations, trade, immigration, currency, defence, marriage, postal service.
**State government** - located in the capital city of each state (Spring St, Melbourne)
include schools, hospitals, roads, railways and public transport, police, prisons and emergency services.
**Local government** - located in towns and cities across Australia
Councils deal with everything from schools to care of older people, from roads to rubbish, libraries and local planning.
85
Main sources of revenue for the various levels of government
**Federal Government**
Receipts from income tax
Receipts from company tax
**State Government**
Receipts from GST
Receipts from Stamp Duty
**Local Government**
Receipts from rates
86
Structure of State & Federal Parliament
**-Parliament**
Federal
**Upper House**
Senate (76 members) 6yrs
**Lower House**
House of Representatives (151 members) 3yrs
**-Parliament**
State
**Upper House**
Legislative council
**Lower House**
Legislative assembly
87
Ministers, portfolios, backbenchers
Ministers - Members of government who have to represent their electorate AND who have been allocated a specific area of responsibility known as a portfolio. Eg immigration, defence.
Backbenchers - members of parliament who do not have a portfolio. Their only responsibility is to look after their electorates. They sit at the back and are paid less than ministers.
88
Roles of the Governor- General
Kings representative. They are appointed by the King on the recommendation of the Prime Minister.
89
Role of the Senate
The main functions of the Senate are to:
safeguard the interests of all states
to act as a ‘house of review’ (a proposed law called a bill passed by the House of Representatives must be passed by the Senate before it can become law
to represent the interests of the voters
90
What is an electorate?
An electorate is a geographical area of Australia represented by a member of parliament elected to the House of Representatives.
91
Voting methods – first past the post, preferential, proportional
**First Past the Post** This voting system is used in the UK and the USA but is not used in political elections in Australia. To fill in the ballot paper a voter only needs to put a mark next to the candidate they want to elect.
**Preferential Voting**
The members of the House of Representatives are elected by the system of preferential voting. Voters indicate their preference for the candidates. In order to win a seat in the House of Representatives, a candidate must receive 50% + 1 vote. This is called an absolute majority. This voting method ensures the winning candidate has the support of the majority of voters.
**Proportional Voting**
Senators are elected using proportional representation voting. In this method of voting, representatives must attract a certain percentage or quota of the vote. Once the person has achieved this quota, he/she will hand on votes to another member of the party.
92
Voting procedure in Australia –including who can vote, formal and informal votes, donkey vote
**Formal Vote**
Where the ballot paper has been filled out correctly (all candidates are numbered in order of preference) and it includes the number 1. This vote is counted.
**Informal Vote**
(around 5% of the votes)
The ballot paper is not marked at all or is marked with drawings. This vote is not counted.
**Donkey Vote **
Where the voter has their preferences in the same order as the candidates listed on the ballot paper. A donkey vote is a formal vote.
Anyone can vote as an Australian citizen, over 18 and are on the electoral roll.
93
Juror - Ineligible
Are intellectually or physically handicapped who are incapable of performing jury duty (deaf, blind)
Cannot speak and/or understand English
94
Juror - Disqualification
These are people who would be eligible for jury service but because of how they acted in the past are not the type of person we want on a jury.
People who have been imprisoned for 3 months or more in the last 5 years,
or have served at least 3 years in jail in their life, or are on remand, bail
or are an undischarged bankrupt
95
Juror - Excused
Distance (>50km for melbourne, >60km for rural)
Excessive time/inconvenience
Would cause substantial hardship/financial hardship
Person is a carer and no alternatives exist
Advanced age
96
Strengths of juries
Strengths:
Involves a broad cross section of ordinary people with different backgrounds, so decisions should reflect community values
Helps to promote an understanding of the legal system to ordinary citizens
Having more than one decision maker reduces the burden/pressure on any one person or on a judge alone deciding the verdict.
Gives the community confidence that they are being ‘tried by their peers’
97
Weaknesses
Weaknesses:
Lots of people get out of jury duty (disqualification and excuses) so it is not a true cross selection of the community
Ordinary people might not be able to follow the case due to legal language or the complex details of some trials
Having juries adds to the time and cost of the trial
Juries do not give reasons for their decisions so there is no transparency
Jurors can be swayed by charismatic and persuasive barristers
