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Economics (Behavioral Economics (Nudge - any factor that significantly…

- - - - State Tax - Taxes used for roads, school etc.
        
        Net Pay - amount after deductions of tax and interest and payback
        
        Subprime - adjustable mortgage - given out by a lending company for people with low credit scores
        
        Pay day loans - small businesses lend a small loan but with a interest rate
- - - - Marginal Analysis - maximizing utilities for cheaper cost
        
        Opportunity cost - the relationship between scarcity and choice
        
        Production Possibility curve - the most beneficial possibility for a company to maximize utilities
        
        Incentives - Negative or positive benefits for a possible outcome or option
- - - - Paradox of thrift - It states that individuals try to save more during an economic recession, which essentially leads to a fall in aggregate demand and hence in economic growth.
        
        Mortgage backed security - is a type of asset-backed security that is secured by a mortgage or collection of mortgages
        
        Business cycle - a cycle or series of cycles of economic expansion and contraction
        
        Flat - Fiat currency is legal tender whose value is backed by the government that issued it. The U.S. dollar is fiat money, as are the euro and many other major world currencies.
        
        Gold - Differs from money whose value is underpinned by some physical good such as gold or silver, called commodity money.
        
        Federal Reserve - the central bank of the United States. It was created by the Congress to provide the nation with a safer, more flexible, and more stable monetary and financial system
        
        Reserve Requirement - that sets the minimum amount of reserves that must be held by a commercial bank.
        
        Discount rate - the minimum interest rate set by the Federal Reserve for lending to other banks
        
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