Writing Assessment
World Geography, Cultures, and Social Studies Skills
Economics Theme
Identify or define (Five points each)
In your answer explain what, who, when, where, how, and why significant
1. Money
2. Gross earnings
3. Net earnings
4. Cost of living
5. Budget
6. Debt
7. Credit
8. Credit score
9. Interest rate
10. Exponential growth
11. Bank
12. Central bank
13. Stock market
14. Economics
15. Barter economy
16. Supply and demand
17. Market economy
18. Capitalism
19. Laissez-faire capitalism
20. Adam Smith
21. Thomas Malthus
22. Mixed economy
23. Government regulated capitalism
24. Workers’ unions
25. Entrepreneur
26. Socialism
27. Planned economy
28. Karl Marx
29. Communism
30. Utopianism
31. Utilitarianism
32. Global economy
33. World bank
34. National debt
Short Answer (Pick five, five points each)
1. Calculate your own cost of living expenses and determine the gross and net income required to maintain your expected lifestyle.
2. How is money created; and what gives money value?
3. How does supply and demand influence the value/cost of items?
4. Why were banks created? How have they developed? Describe multiple methods in which banks accumulate wealth?
5. Explain how compound interest accumulates to create an exponential growth curve.
6. Describe both the advantages and disadvantages of a free market economy.
7. Describe both the advantages and disadvantages of a mixed economy.
8. Describe both the advantages and disadvantages of a planned economy.
Essay (Pick one, fifty points)
1. Compare and contrast capitalism and socialism. Which economic system is most fair?
Debate Topics
1. Compare and contrast capitalism and socialism. Which economic system is most fair?
2. Do you think our economic system should be based on competition or cooperation? Why? How would it work?
3. Do you think our market should be freely based on supply and demand or regulated with oversight based on common good?
4. Create six regulatory laws for our economy and evaluate the positive and negative impact of these laws. Debate the impact of your law.
5. Consider the following information about the Troubled Asset Relief Program, or TARP, which earmarked $700 billion to help rescue the financial industry.
Where'd the bailout money go? Banks aren't saying
Updated 12/26/2008 1:35 PM
By Matt Apuzzo, The Associated Press
Think you could borrow money from a bank without saying what you were going to do with it? Well, banks borrowing from you don't feel the same need to say how the money is spent.
After receiving billions in aid from taxpayers, the USA's largest banks say they can't track exactly how they're spending it. Some won't even talk about it. "We're choosing not to disclose that," said Kevin Heine, spokesman for Bank of New York Mellon (BK), which received $3 billion.
Thomas Kelly, a spokesman for JPMorgan Chase (JPM), which received $25 billion in bailout money, said that while some of it was lent, some was not, and the bank won't say exactly how the money is being used. "We have not disclosed that to the public. We're declining to," he said.
The answers highlight the secrecy surrounding the Troubled Asset Relief Program, or TARP, which earmarked $700 billion to help rescue the financial industry. The Treasury Department has been using the money to buy stock in U.S. banks, hoping that the sudden in-flow of cash will get banks to start lending again.
Lawmakers summoned bank executives to Capitol Hill last month and implored them to lend the money — not to hoard it or spend it on bonuses, junkets or to buy other banks. But there is no process to make sure that's happening and no consequences for banks that don't comply.
"It is entirely appropriate for the American people to know how their taxpayer dollars are being spent in private industry," said Elizabeth Warren, the top congressional watchdog overseeing the financial bailout.
Should the financial industry be regulated by the government? Why or why not?