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Holt 7525-9 S15_IT

Taxpayers, 13-3-7, 19-9

Taxpayers, 13-3-7, 19-9 Taylor, Elizabeth, 22-2 Team production, 19-2 Technological advance, 2-5, 3-6, 4-7, 14-3-4, 14-7-8, 16-3, 16-8, 28-12 Technology, 14-6 TED spread, 11-9 Temporary Assistance for Needy Families, 5-2, 31-7-8 Term of a loan, 26-4 Terrorist attacks, 12-9 Thailand, Intro-5, 14-2 Thaler, Richard, 26-8 Theories of Regulation, 29-4-5 “Theory of Games and Economic Behavior”, 23-7 Think Like an Economist (TLAE) – An Increase in the Gasoline Tax, 17-12-13 TLAE – Economic Systems and Individual Freedom, 2-12 TLAE – Hiring an Attorney, 19-10 TLAE – How to Treat Employees, 24-9 TLAE – Price Changes in a P.O.W. Camp, 10-11 TLAE – Rational Robbers, 1-11 TLAE – The New CEO, 24-9 TLAE – Unemployment Policies, 4-12 TLAE – Working in a “Sweatshop”, 15-12 Thinking Like an Economist, 1-6 Third-party payment, 30-6 Tillman, Pat, 1-5 Time deposits, 10-3 “Time Asia” magazine, 22-10 “Time” magazine, 8-10 Time value of money, 26-5 Tobacco companies, 27-12 Tools for controlling the money supply, 11-3-4 Total cost, 20-4-9, 21-3-6 Total Expenditures (TE), 5-3-4, 5-7, 6-1, 6-6, 8-1-2, 8-5-12, 9-1-7, 12-5-6 Total Expenditures (TE) curve, 8-4-8 Total output, 5-1-5, 5-9, 7-1-9, 8-2, 9-1, 12-1 Total product, 20-3 Total revenue, 17-4, 20-1, 20-9-10, 21-3-6, 22-3, 24-1 Total utility, 18-1-10, 31-1, 31-6-7 Toyota, 28-12 Trade, 10-1, 10-3 Trade barriers, 15-7 Trade deficit, 16-1 Trade-off, 2-2, 13-7, 25-1, 25-9, 31-7 Trade restriction(s), 8-12, 14-7, 15-12, 16-3-8, 22-2, 22-8, 25-4, 28-11, 29-5, 30-5, 31-9-10 Traditional cultures, 15-6 Traditional farm policies, 30-3-5 Tragedy of the commons, 27-9 Training costs, 24-7 Transaction costs, 10-2, 10-6, 10-9, 19-1-2 Transactions money, 10-3 Transfer payments, 5-2-3, 9-4 Transparency International, 15-7, 22-10 Treasury bills, 10-5 Treasury bonds, 10-5 Treasury Department, 11-12 Treasury notes, 10-5 Trough, 5-6 Turkey, Intro-5 Twice as steeply downward sloping marginal revenue curve, 22-4, 23-2, 23-6 Tying agreements, 29-7 Ukraine, Intro-5 “Ultimate Resource, The”, 14-10 Uncertainty, 10-9, 14-4, 26-7 Underground production, 5-2, 5-6, 11-9 Underproduction, 22-6, 23-3 Unemployed, 4-5 Unemployment, 4-4, 8-11 Unemployment compensation, 4-9-10, 5-3, 9-5, 31-2, 31-9 Unemployment, types, 4-6-7 Unemployment rate, 4-4-10, 5-7, 6-1, 6-6-9, 7-1, 7-4-8, 9-5, 11-4, 12-7-9 Unequal distribution of income, 2-8, 7-2, 12-11, 18-3, 31-1 Unfair foreign competition argument, 16-6 Uninsured, 30-7 Unintended consequences, 1-6, 28-7, 29-6 Union goals, 25-2-3 Unions, labor, 8-1, 25-1 Union membership, 25-1 Union shop, 25-4 Union wage premium, 25-9 Unions and collective voice, 25-10 Unions and monopsony, 25-7-8 Unions and productivity, 25-9-10 Unions and wages, 25-8-9 Unitary elastic demand, 17-5 United Arab Emirates, 14-9 United Kingdom, Intro-5, 11-5 United Nations Children’s Fund, 15-2 United Nations Food and Agricultural Organization, 15-1 United States (U.S.), Intro-1-5, 14-3, 21-1, 22-1, 31-12 University of Alabama, 23-10 University of Notre Dame, 23-9 University of Oklahoma, 23-9 University of Texas, 24-3 Unkinked demand curve theory, 23-6 Unlimited liability, 19-4-5 Unpredictable farm supply, 30-4 Unsafe drinking water, 15-1 FOR REVIEW ONLY - NOT FOR DISTRIBUTION Index - 14

Upturns, 9-4 USDA, 27-9, 30-1-2, 30-5 U.S. Constitution, Intro-2, 9-5, 13-11 U.S. dollar, 6-4, 16-11-12 U.S. economy, 5-1, 12-6, 14-2-3, 14-10, 16-1, 18-2, 31-12 U.S. Government Securities, 10-5-6, 11-2-3, 11-8, 12-1, 12-5-6 U.S. Mint, 11-1 U.S. Treasury Department, 11-8, 11-10, 13-10 Usury laws, 8-11 Utilities, 6-5 Utility, 18-1-10 Utility maximization, 18-3-8 Utility Maximization Rule No. 1, 18-4 Utility Maximization Rule No. 2, 18-4 Value of the marginal product (VMP), 24-4 Variable(s), 17-1 Variable cost(s), 20-3-5 Variable input(s), 14-7, 20-3-5 Vault cash, 10-4-5, 11-1-2 Velocity of money, 12-1-3 Venezuela, Intro-5, 19-7 Vertical merger, 29-8 Vertical restraint on distribution, 29-7 Vicious circle of poverty, 15-5 Visa, 19-6 Von Neumann, John, 23-7 Voters, 9-3, 28-1-2, 28-11-13 Wage rates, 6-4, 7-6-7 Wages, 5-10, 7-4, 8-1, 16-7, 25-1 Wall Street, 11-5 Wal-Mart Corporation, 15-11, 19-7 Walton, Sam, 1-3 Warner, Andrew, 14-8 Washington, George, Intro-1 Wealth, 6-1, 10-1 Wealth (real balance) effect, 6-9 “Wealth of Nations”, see “An Inquiry into the Nature and Causes of the Wealth of Nations” Westinghouse, 23-8 Whale oil, 14-10 Whitney, Eli, Intro-2 Wholesale sector, 15-12 “Why Popcorn Costs So Much at the Movies and Other Pricing Puzzles”, 4-8 Wicked Witch of the West, 11-9 WNBA player salaries, 24-1 Woodward, Bob, 12-9 Work and leisure choices, 31-5 Work stoppages, 25-11 World Bank, 14-2, 16-7 World economy, 16-7 World Health Organization, 15-2 World supply, 16-4-6 World Trade Center, 12-9 World Trade Organization, 30-5 World War I, 13-10 World War II, 8-10, 9-7, 10-9, 12-8, 13-10, 16-8 Worries about future economic growth, 14-8-9 Wrongful employment discrimination, 31-5 Yellen, Janet, 11-1 Zero economic profit, 20-1, 21-7, 23-4, 29-4 Zero price effect, 1-11 Zero-sum fallacy, 1-6 Zero-sum game, 28-10 Zimbabwe, 31-11 FOR REVIEW ONLY - NOT FOR DISTRIBUTION Index - 15

  • Page 1 and 2:

    PRINCIPLES OF ECONOMICS JEFF HOLT S

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    Principles of Economics, 6th Editio

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    16. Study Guide for Chapter 7 17. C

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    11. Appendix: Book Review - “The

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    20. Appendix: The NCAA Cartel 21. S

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    Introduction: A Brief History of U.

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    In the twentieth century, per capit

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    Appendix: The 35 Largest National E

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    Multiple Choice: ___ 1. The Jamesto

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    2. Describe the economic cost of th

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    Chapter 1 Scarcity and Choices The

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    Example 5B: At the end of 1982, the

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    Example 11: When Cindy quits her jo

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    consequences may result in failure

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    An upward sloping curve (as in Exam

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    In making decisions, humans tend to

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    5. ______________________ _________

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    ___ 13. If the value of one variabl

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    Y Point X Y A 0 1 B 3 3 C 6 5 D 9 7

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    Chapter 2 Trade and Economic System

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    Example 4B: The following quantitie

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    1. An increase in the quantity of r

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    3. For whom to produce? This is det

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    The graph below illustrates the shi

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    The two primary economic systems ar

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    ___ 12. The capitalist vision sees

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    ___ 25. According to the book “Ca

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    Chapter 3 Demand, Supply, and Equil

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    . For inferior goods, income and de

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    The same information can be placed

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    Not only does a free market elimina

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    $7 - 6 - 5 - S 3 S1 S 2 Price 4 - 3

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    Example 17: The graph below illustr

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    Questions for Chapter 3 Fill-in-the

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    ___ 12. Assuming a market originall

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    $8 - 7 - 6 - 5 - Price 4 - 3 - 2 -

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    Chapter 4 Inflation and Unemploymen

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    Computing the Rate of Inflation The

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    Full Employment Though unemployment

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    3. Cyclical unemployment - due to d

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    During the Great Depression, the ec

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    Appendix: Think Like an Economist -

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    Answer questions 8. and 9. based on

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    ___ 25. The extension of unemployme

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    Chapter 5 Measuring Total Output: G

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    5. Leisure. Leisure time is by defi

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    The U.S. is a high per capita GDP c

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    Example 17: In “An International

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    The simple circular flow diagram be

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    ___ 3. Which of the following would

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    2. Explain what nonproduction trans

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    Chapter 6 The Aggregate Market The

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    Example 2C: Assume the same facts a

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    Example 5B: The price of crude oil

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    Price Level Real GDP SRAS AD 2 AD 1

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    Appendix: Why the Aggregate Demand

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    ___ 3. DEF Company can invest in ne

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    2. List and explain the two factors

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    Chapter 7 Classical Economic Theory

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    Notice that the investment demand c

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    Long-Run Equilibrium If Real GDP is

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    Example 6B: When the economy is in

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    Laissez-faire If the economy is sel

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    ___ 5. According to Say’s Law: a.

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    3. On the graph below, draw an aggr

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    Chapter 8 Keynesian Economic Theory

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    Example 2B: The graph below illustr

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    Example 5: Assume that the table be

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    Notice on the graph on the previous

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    According to Keynesian theory, a ch

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    “The General Theory” also inclu

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    ___ 8. If the consumption function

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    3. If the MPC is .667, and investme

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    Chapter 9 Fiscal Policy The basic e

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    Keynesian Fiscal Policy Theory and

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    Example 5A: The federal government

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    The Laffer Curve What will happen t

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    Appendix: The Importance of Incenti

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    ___ 4. A decrease in government exp

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    2. Explain what automatic stabilize

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    Chapter 10 Money, Money Creation, a

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    Example 4B: The castaways on Gillig

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    Looking at the balance sheet below,

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    Demand-side One-shot Inflation Exam

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    4. Inflation increases uncertainty

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    life; it came into existence not by

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    calculated by using the potential d

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    ___ 12. If the required-reserve rat

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    4. Referring to the balance sheet f

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    Chapter 11 The Federal Reserve Syst

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    5. After Bank X sells the $300,000

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    Low Mortgage Interest Rates Mortgag

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    Relaxed Standards for Mortgage Loan

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    The Bursting of the Housing Bubble

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    On February 17, 2009, the federal g

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    Fed policies caused short-term inte

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    ___ 10. The Fed’s most important

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    ___ 25. In response to the recessio

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    Chapter 12 Monetary Policy The basi

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    2. A change in aggregate demand (AD

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    Monetarist Transmission Mechanism C

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    3. Borrowers do not have to seek ou

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    Appendix: Book Review - “The Age

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    Questions for Chapter 12 Fill-in-th

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    ___ 16. The primary source of incom

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    7. According to Alan Greenspan, wha

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    Chapter 13 Taxes, Deficits, and the

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    Example 5: In 2015, Taxpayer A had

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    of $5 and a quantity of 10 units. T

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    The complexity of the tax law also

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    the current government spending and

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    cut of 1964. The top rate was lower

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    ___ 6. Federal excise taxes: a. are

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    3. How would eliminating the loopho

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    Chapter 14 Economic Growth The basi

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    2. Labor. Labor can contribute to e

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    estricting international trade (e.g

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    An improvement in technology (e.g.

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    The table below shows the economic

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    will increase both Real GDP and per

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    ___ 8. Which of the following is co

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    ___ 26. The opinion that economic g

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    Chapter 15 Less Developed Countries

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    Example 8: Countries A, B, C, and D

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    Obstacles to Economic Development f

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    c. Restrictions on international tr

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    Appendix: Book Review - “The Powe

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    Example 25: In Brazil, about half t

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    Study Guide for Chapter 15 Chapter

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    ___ 13. Among the counterproductive

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    4. List four ways that governments

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    Chapter 16 International Trade The

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    Other Benefits of Free Internationa

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    Example 6: The graph below illustra

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    competitive disadvantage. But dumpi

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    is only 25% as productive as before

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    Smith was skeptical of government a

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    ___ 4. For Country X, what is the o

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    ___ 18. Frédéric Bastiat’s “P

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    4. On the graph below: (1) What is

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    Chapter 17 Elasticity We are often

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    Example 4A: What is price elasticit

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    Example 5A: Gertie’s Gas and Go i

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    Example 10A: When the price of Good

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    Example 13B: On the graph below, su

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    $7 - 6 - 5 - Price 4 - 3 - 2 - 1 -

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    In the long run, would the deadweig

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    ___ 7. The factors that determine w

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    3. a. Which price (or prices) from

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    Chapter 18 Utility The basic econom

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    Nonetheless, society generally assu

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    Example 9: Capital City operates a

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    Marginal rate of substitution - the

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    The diamond-water paradox is the ob

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    Complete the table below to answer

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    4. The graph below shows indifferen

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    Chapter 19 The Firm The basic econo

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    than contributing to team productio

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    1. Difficulty in raising large amou

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    Corporations also use self-financin

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    Example 24: A blacksmith who produc

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    For financing needs, proprietorship

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    ___ 13. Corporations: a. are comple

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    5. List two things that the absence

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    Chapter 20 Production and Costs The

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    In Example 5B, Birdwell finds that

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    variable cost initially decreases,

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    Quantity TC MC AFC AVC ATC 0 240 X

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    If the scale of operation is increa

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    average total cost. Average fixed c

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    ___ 11. Concerning the cost curves:

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    5. Complete the following cost tabl

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    Chapter 21 Perfect Competition The

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    Even though a perfect competitor ca

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    Example 6C: This example builds on

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    At what price will there be neither

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    Appendix: Perfect Competition in th

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    Multiple Choice: ___ 1. A perfect c

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    ___ 17. Perfect competition: a. req

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    Answers for Chapter 21 Fill-in-the-

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    Chapter 22 Monopoly Of the four mar

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    3. Exclusive ownership of an essent

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    maximizing quantity (4 units) creat

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    $22 - 20 - 18 - 16 - 14 - Deadweigh

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    2. Negotiating, beginning at a high

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    Legal barriers are created by gover

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    ___ 8. The slope of the demand curv

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    Price Quantity 3. List some of the

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    Chapter 23 Monopolistic Competition

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    For Percomp (the perfect competitor

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    Example 7A: The graph below represe

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    Example 9: The Organization of the

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    Example 12 illustrates the dilemma

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    its current price and quantity. The

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    ___ 14. Game theory: a. is a method

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    Answers for Chapter 23 Fill-in-the-

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    Chapter 24 Factor Markets The basic

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    $ $240 - 200 - 160 - 120 - 80 - 40

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    Since producers will attempt to equ

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    2. Differences in nonmoney aspects

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    were his strikeouts, walks, and hom

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    ___ 3. To maximize profits, a produ

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    ___ 19. According to the book, “M

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    Multiple Choice: 1. a. 8. c. 15. d.

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    Chapter 25 Labor Unions The primary

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    The elasticity of demand for union

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    Example 4A: Assume that the graph b

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    Notice from the graph in Example 6

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    Wage Factory A Quantity of Labor S

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    As a cartel, a labor union faces a

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    ___ 10. For a monopsony: a. there i

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    3. The graph below represents a lab

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    Chapter 26 Interest, Present Value,

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    An increase in expected rates of re

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    An asset is valuable because we exp

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    Example 13B: General Ordnance prove

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    Appendix: Present Value Table One f

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    ___ 4. An increase in expected rate

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    Problems: 1. List and explain the t

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    Chapter 27 Market Failure The basic

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    External Benefit If a market genera

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    Example 2: To encourage the consump

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    $100 - 90 - 80 - MSC 70 - $ 60 - 50

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    A common good is nonexcludable. Non

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    Study Guide for Chapter 27 Chapter

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    ___ 5. What government policy would

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    4. Based on the information on the

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    Chapter 28 Public Choice and Govern

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    Candidates and the Median Voter Mod

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    Example 8: According to State and F

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    Example 10: When Elvis Presley was

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    4. Pessimistic bias. This is the te

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    ___ 5. An elected official will: a.

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    2. If a certain policy will yield s

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    Chapter 29 Government Regulation of

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    underproduction is the amount that

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    micromanagement results in business

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    market. They may agree with their c

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    Questions for Chapter 29 Fill-in-th

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    ___ 10. The public interest theory

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    4. List the four types of costs imp

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    Chapter 30 Agriculture and Health C

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    weather may cause bumper crops. Bad

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  • Page 491 and 492: 1. NHI would provide universal heal
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  • Page 495 and 496: Study Guide for Chapter 30 Chapter
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  • Page 501 and 502: Chapter 31 Income Distribution and
  • Page 503 and 504: Income is more equally distributed
  • Page 505 and 506: over a typical career is the accumu
  • Page 507 and 508: Ideal Income Redistribution The ide
  • Page 509 and 510: Poverty - a family whose income fal
  • Page 511 and 512: Appendix: Income Inequality around
  • Page 513 and 514: How is this story an analogy for th
  • Page 515 and 516: ___ 2. In 2013, the Lowest Income 6
  • Page 517 and 518: Problems: 1. Explain the two primar
  • Page 519 and 520: Absolute advantage - when one natio
  • Page 521 and 522: Fiat money - money by government de
  • Page 523 and 524: Nonrivalrous good - a good for whic
  • Page 525 and 526: Absolute advantage, 16-9 Absolute e
  • Page 527 and 528: “Company town”, 25-6 Comparativ
  • Page 529 and 530: Eli Lilly and Company, 22-1 Emergen
  • Page 531 and 532: Houston, Texas, 15-10 Human capital
  • Page 533 and 534: Market, 3-1, 3-8-9 Market basket, 4
  • Page 535 and 536: Political bias, 9-4, 12-7 Political
  • Page 537: Short run production, 20-2-3 Short-
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