Passage of the Nineteenth Amendment in 1920

question 126

Multiple Choice

Passage of the Nineteenth Amendment in 1920

• A)marked the beginning of a new era in progressive reform.
• B)outlawed the production,sale,and consumption of alcohol.
• C)gave women the right to vote.
• D)required the direct election of senators.
• E)disallowed Woodrow Wilson from running for a third term.

Appreciate the differences between nominal and real values, and their implication for standards of living.

Apply the formula for computing the cost of a basket of goods.

Analyze the effects of price changes on inflation and the CPI.

Distinguish between the Consumer Price Index (CPI) and the Producer Price Index (PPI).

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Definitions:

Financial Assets

Stocks and bonds. More generally a document giving its owner a claim to certain future cash flows. Stocks base that claim on ownership (equity), while bonds base it on debt. Also called a security.

Future Cash Flows

Projected financial gains or losses for a specific period in the future.

Financial Advisors

Professionals who help individuals manage their finances by providing advice on money issues such as investments, insurance, mortgages, college savings, estate planning, taxes, and retirement.

Collateral

Assets that a borrower offers to a lender as security for a loan, which can be seized if the loan is not repaid according to the agreed upon terms.