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Personal Finance
n/a
21
Economics
12th Grade
05/03/2011

Additional Economics Flashcards

 


 

Cards

Term
Positive Incentive
Definition
is a reward that a person is likely to receive if they behave in a certain manner.
Term
Negative Incentive
Definition
is a punishment or negative consequence that one wants to avoid for failing to behave in a certain manner
Term
Commerical bamks
Definition
are financial institution that receieved deposits of money extend credit and provide loans
Term
Interest charged
Definition
borrows from the bank
Term
Interest earned
Definition
banks pay to use money
Term
Stocks
Definition
are shares in a company that an individual or organization purchases giving that person or entity part ownership
Term
Mutal funds
Definition
pool money from a number of investors to buy a range of stocks
Term
Retirement
Definition
is when people stop working a paying job because they simply don't want to work anymore or because they are physically unable due to their age or health
Term
Regressive tax
Definition
is one in which people pay higher percentage of tax the less money they make
Term
Sales tax
Definition
are common example of a regressive tax because people with less money pay a higher percentage in tax
Term
Credit
Definition
is an agreement under which a buyer receives goods or services at the present time in exchange for a promise to pay for them at a future time
Term
Simple interest
Definition
is rate that is applied only to value of the principal
Term
Principal
Definition
is the amount of money that has been borrowed
Term
Compound interest
Definition
is interset appiled to both the principal and the accrued interest
Term
Debt
Definition
is the amount of money that you owe on money thay you have borrowed
Term
Credit score
Definition
is a number based on your history as a borrower
Term
Life Insurance
Definition
is meant to provide money to your family if you die
Term
Health and medical insurance
Definition
is meant to cover health and medical expenses
Term
Disability Insurance
Definition
provides a policyholder with income in the event that they become disablededand unable to work
Term
Homeowner's insurance
Definition
policy that covers your home incase of damage or destroyed
Term
Comprehensive liability
Definition
insurance that covers a much wider range
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