Yearly's

Question 1

Law of demand

Answer 1

As prices increase, demand for that good or service decreases. If the price decreases, the demand for that good or service increases.

Question 2

Law of supply:

Answer 2

As prices for a good or service increase, the quantity supplied will increase. If the price decreases, the supply of that good or service will decrease.

Question 3

5 Sector Circular Flow Model

Answer 3

Consumer
Business
Financial (Banks)
Government
Overseas (Import and Exports)

Question 4

Price Mechanism

Answer 4

refers to the forces of demand and supply in determining the price and quantity of a good or service.

Question 5

Market Equilibrium:

Answer 5

The point at which the demand and supply curve intersect.

Question 6

Different types of market:

Answer 6

Retail
Labour
Financial
Stock

Question 7

Limited Liability:

Answer 7

if the business cannot pay its debts, a shareholder generally loses only the money he or she invested in the business

Question 8

Unlimited liability:

Answer 8

when a business owner is personally responsible for all the debts of his or her business

Question 8

Unlimited liability:

Answer 8

when a business owner is personally responsible for all the debts of his or her business

Question 9

Business cycle:

Answer 9

the cyclical fluctuations in the general level of economic activity

Question 10

Depression:

Answer 10

a severe contraction in the level of economic activity resulting in many business failures, high and sustained levels of unemployment and sometimes falling prices

Question 11

Fiscal policy:

Answer 11

the use of the federal government’s budget to achieve economic objectives

Question 12

Inflation:

Answer 12

a general rise in prices across all sectors of the economy, causing money to lose its value

Question 13

Interdependence:

Answer 13

a joint dependence between participants in an economy; that is, the reliance of consumers, workers, businesses and governments on each other

Question 13

Monetary policy:

Answer 13

the Reserve Bank using interest rates to achieve economic objectives

Question 14

Recession:

Answer 14

a relatively mild contraction in the level of economic activity resulting in reduced spending, rising unemployment and a slow rate of economic growth

Question 15

Plaintiff

Answer 15

an individual who initiates a case against another party

Question 16

Prosecutor

Answer 16

a qualified lawyer who represents all levels of government in courts of law

Question 17

Civil law

Answer 17

legal system based around rights and responsibilities

Question 18

Criminal law

Answer 18

a legal system that regulates conduct in society to protect the community and provides sanctions against those who commit crimes.

Question 19

Defendant

Answer 19

an individual whom the case is against or accused of

Question 20

Adversarial system

Answer 20

a system used to determine facts in the adjudication system

Question 21

Precedent

Answer 21

a rule that has been established in a prior case and used for future cases

Question 22

Jury

Answer 22

a group of individuals, usually 12, who have to give a verdict in a legal cases on the basis of evidence

Question 23

Verdict

Answer 23

a decision made by the jury, either being guilty or not guilty

Question 24

Judge

Answer 24

an official who instructs juries and keep control of court

Question 25

Magistrate

Answer 25

a judicial officer who makes decisions in lower courts

Question 26

Balance of probabilities

Answer 26

The balance of probabilities requires examiners to weigh up all the
material before them and decide whether an objection is more likely than not to be applicable.

Question 27

Beyond reasonable doubts

Answer 27

highest standard of proof in a judicial system

Question 28

Corporate social responsibility

Answer 28

when businesses consider the interests of stakeholders, society and the environment when making economic and business decisions

Question 29

Demographic factors

Answer 29

population characteristics that affect customer spending which include: age, ethnicity, gender, marital status, family size and income

Question 30

Liabilities

Answer 30

the debts owed by a business to others

Question 31

Niche market:

Answer 31

also known as a concentrated or micro market, a niche market is a narrowly selected target market segment

Question 32

Partnership:

Answer 32

a business owned and operated by between two and twenty people

Question 33

Private company

Answer 33

an incorporated businesses with between two and fifty private shareholders

Question 34

Prospectus:

Answer 34

a legal document issued by companies that are offering securities for sale

Question 35

Statute Law:

Answer 35

laws made by parliaments

Question 36

Common Law

Answer 36

system of law based on the previous decisions of judges, or precedents

Question 37

Local Court:

Answer 37

There is no jury meaning that the magistrate makes the verdict and also mostly deals with civil cases. Claims are up to 100k.

Question 38

District Court:

Answer 38

District Court deals with more serious civil cases for claims over $100 000 up to $750 000 and all motor vehicle accident cases.

Question 39

Supreme Court

Answer 39

deals with the most serious criminal cases such as murder, treason and serious sexual assault. The most serious civil cases involving more than $750 000 are heard in this court.

Question 40

High Court

Answer 40

Highest court in Australia, meaning decisions made are final. It consists of seven judges: the Chief Justice and six Justices. The court hears cases concerning the interpretation of the constitution; that is the laws of which Australia is governed by.