| A | B |
|---|
| This term refers to the predictable patterns of ups and downs in the economy. | Business cycle |
| This phase of the business cycle is the growth phase | Phase 1 |
| This phase of the business cycle is the boom or peak phase. | Phase 2 |
| This phase of the business cycle shows a slow down in the economy | Phase 3 |
| In this phase of the business cycle, we experience a recession or depression | Phase 4 |
| A severe recession | Depression |
| Government's initial policy of not interfering with business; French for "allow to do." | Laissez-faire |
| This term means the cost of borrowing $ or $ earned on a bank account | interest |
| This bank sets interest rates and acts as a bank to commercial banks. | The Federal Reserve/The Fed |
| The government can influence the economy by controlling the amount of money in circulation when it exercises __________ policy | Monetary |
| Rasing these is an example of monetary policy | Interest Rates |
| Economic indicator which is the total value of goods and services produced in the United States in one year. | Gross Domestic Product |
| After this event, the government took a more active role in influencing the economy | Great Depression |
| Roosevelt's collection of laws to create jobs for Americans during the Great Depression was called this. | New Deal |
| The way the government can influence the economy by how it taxes citizens and spends money. | Fiscal Policy |
| A general rise in prices | inflation |
| These are legal monopolies | Public Utilities |
| Exists when one company controls most or all of a particular good or service | Monopoly |
| This act outlawed monopolies and trusts | Sherman Anti-trust act |
