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The flashcards related to the US business environment will cover
these topics:
- Issues and Controversies
- Acceleration principle, inflationary gap, exchange rates, Keynesians,
monetarists, supply-siders, neo-Keynesians, classical theory of
economics, Say's Law, income velocity of money, three assumptions
of Keynesian economics, propensity to consume and save, determinant
of investment, autonomous vs. induced investment, three types
of unemployment, causes of inflation, measuring inflation, Phillips
Curve.
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- Business Cycles
- Closed economy, equilibrium income, multiplier effect, marginal
propensity to consume, marginal propensity to save, tax vs. regular
multiplier, gross domestic product, net domestic product, national
income, personal income, disposable income, gross investment,
net investment, four stages of business cycles, economic indicators,
accelerator theory, liquidity preference function.
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- Fiscal Policy
- Government spending principles, fiscal policy, public goods,
private goods, two principles of taxation, three classifications
of taxes, direct vs. indirect taxes, incidents of taxation, value-added
tax, transfer payments, automatic stabilizers, crowding-out vs.
crowding-in effect.
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- Monetary Policy
- Measures of money, supply of money, equation of exchange, money
multiplier, Federal Reserve Board, aggregate demand, prime rate,
discount rate.
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- International Business Environment
- Comparative vs. absolute advantage, exchange rate, managed float,
purchasing-power parody, spot vs. forward exchange rate, currency
risks, balance of international payments, current account, capital
account, governmental trade barriers, General Agreement on Tariffs
and Trade, North American Free Trade Agreement, devalued currency.
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