Commerce Flashcards
Revision (389 cards)
1
Q
What are the 6 ways of assessing the Australian Economy?
A
Economic Growth, unemployment, inflation, distribution of income, environmental sustainability and external stability.
2
Q
What is economic growth also defined as?
A
Real growth.
3
Q
Why does economic growth occur?
A
Population growth, continual efficiency, product development and replacing goods that have been used.
4
Q
What does economic growth allow?
A
Economic development.
5
Q
Is Economic development qualitative or quantitative?
A
Qualitative.
6
Q
What is economic development?
A
Economic development is living standards, quality of life and wellbeing.
7
Q
What is HDI?
A
Human development index.
8
Q
What does HDI measure?
A
Wellbeing and overall development.
9
Q
What are the specific features of HDI?
A
Health (Life expectancy), education and standards of living
10
Q
What are the two types of unemployment?
A
Cyclical and structural.
11
Q
What is cyclical unemployment?
A
Cyclical unemployment is when the economy isn’t operating at full capacity and does not need all labor inputs.
12
Q
What is structural unemployment?
A
Structural unemployment is when skills and labor do not match the required demands.
13
Q
What does employment provide?
A
The ability to produce goods and services and the ability for households with income to pay for goods and services.
14
Q
What is inflation defined as?
A
Inflation is defined as the general increase in prices over a period of
time.
15
Q
What are the impacts of high inflation?
A
Household purchasing power is reduced, erodes values and savings, creates uncertainty.
16
Q
How is inflation measured?
A
Inflation is measured through CPI (Consumer price index).
17
Q
Who calculates CPI?
A
The CPI is calculated and published each quarter by the ABS.
18
Q
What is CPI?
A
The CPI is a “basket” of 87 everyday items across 11 categories.
19
Q
What is the distribution of income?
A
The total amount of income in an economy amongst its citizens.
20
Q
How does the government try to overcome inequality?
A
Through the ‘transfer payments system’.
21
Q
What is the ‘transfer payments system’?
A
This is a system where the government provides welfare and other services to those less fortunate.
22
Q
What are the largest welfare sectors?
A
Aged pension, disability payments, family payments and unemployment benefits.
23
Q
What else besides those welfare services does the government provide?
A
Housing.
24
Q
What does environmental sustainability refer to?
A
Environmental sustainability refers to ensuring that the environment
is preserved for future generations.
25
How much does the government spend on welfare payments.
More than one third of government expenditure is in the form of cash
payments or welfare.
26
Why is this an economic issue?
This is an economic issue because the pursuit of economic growth will
usually require the use non-renewable resources, result in
deforestation and cause increased pollution.
27
What is meant by a trade off?
It can be said there is a ‘trade off’ between economic growth and
damage to the environment.
28
How does the government encourage the use of renewable resources?
Providing subsidies or rebates, building an electricity distribution network that can connect solar farms and wind farms to where the electricity is used and providing rebates to the energy bills of low-income households.
This is because the transition to renewable energy is expensive and
has increased energy prices..
29
What does external stability refer to?
A measure of the economic relationship between Australia and the rest of the world.
30
What does it consider?
It considers factors such as our level of two-way trade and our level of
international debt.
31
What does the business cycle represent?
The fluctuations in the level of economic activity in an economy.
32
If there is an expansion in the business cycle, what happens?
Production increase, unemployment decrease, wage increase, consumer spending increase and prices increase.
33
If there is a contraction in the business cycle, what happens?
Production decreases, unemployment increases, wage decrease, consumer spending decrease and price decrease?
34
For individuals what happens during expansion?
Wage growth, employment increase, inflation is higher and quality of life improves.
35
For businesses what happens during expansion?
Increaced production, increaced investement in new equipment and inccreaced profits.
36
For governments what happens during expansion?
Collection of company and personal taxes increaced and reduced spending on welfafe.
37
For individuals what happens during contraction?
Wages decreaced, employement is decarced, inflation is down and decreaced quality of life
38
For businesses what happens during contraction?
Decreased production, decreased investment in new equipment and decreased profits
39
For governments what happens during contractions in the economy?
Collection of company and personal taxes is decreaced. and inctreaced spending on welfare.
40
What are the 5 sectors in the five sector model flow?
Households, firms, financial, government and overseas.
41
What does the 5 sector flow model show?
The injections and leakages into an economy.
42
What does the household sector consist of?
The household sector consists of all
individuals in the economy who earn an income (wages, rent, etc.) by selling
productive resources to firms (labour and land).
43
What does the firms sector consist of?
The firms sector consists of all private
businesses which produce and distribute goods and services to consumers.
44
Who is included in the two sector model?
Firms and households.
45
How is the 2 sector model defined?
This 2-Sector model assumes that individuals derive all income (Y) from firms in return for providing resources. It also assumes that all that income is used to purchase goods/Services produced by firms.
46
What does the financial sector consist of?
The financial sector consists of all financial institutions (eg. banks) who engage in the borrowing and lending of money.
47
How does the financial sector help stimulate the economy?
The financial sector accepts savings (S) from the household sector. The bank pays interest on these deposited funds. These funds are then lent to the firms sector so to enable investments (I) to be made.
48
What does the government sector consist of?
The government sector consists of all
economic activities of local, state, territory and federal governments in Australia.
49
How does the government sector stimulate the economy?
Governments raise revenue through taxation (T). This allows for expenditure (G) such as social security, defence, education and health.
50
What does the overseas sector consist of?
The overseas sector consists of all other countries with whom there is trade.
51
How does the overseas sector help to stimulate the economy?
Trade in goods and services consists of either exports (selling to overseas) or imports (buying from overseas).
52
What do leakages in the economy refer to?
When money is lost in the economy (Leakages remove money or income from the circular flow of income, decreasing aggregate (total) income and the general level of economic activity.)
53
What are the three leakages in the economy?
1. Savings (S) – which go to financial institutions
2. Taxation (T) – which go to the Government
3. Imports (M) – which go to overseas firms
54
What are injections in the economy?
Injections are financial boosts to the economy. )Injections into the circular flow model of income are those flows of money that increase aggregate (total) income and the general level of economic activity.)
55
What are the three injections into the economy?
1. Investment (I) – from financial institutions
2. Government Expenditure (G)
3. Exports (X) – from overseas
56
What is equilibrium?
When IGX=STM
57
What is disequillibrium?
When IGX≠ STM
58
When is it a disequilibrium?
When there are more injections than leakages or visa versa.
59
What are reasons for increase in demand?
A rise in consumer income, changes in consumer taste, increase in the size of the population, a substitute good becomes more expensive, complementary good becomes cheaper and prices are expected to rise in the future.
60
What are the reasons for decrease in demand?
A decrease in consumer income, changes in consumer taste that favor different products, a decrease in the size of the population, a substitute good becomes cheaper, a complementary good becomes more expensive, prices are expected to fall in the future.
61
What are the factors for increased supply?
Increased efficiency, increased production, improved climatic conditions and an increase in number of suppliers.
62
What are the factors for decreased supply?
Decreased efficiency, decreased production, worsened climatic conditions, and a decrease in the number of suppliers.
63
Where supply meets demand is known as?
Market equilibrium.
64
What is a market?
Where a buyer demands 'things and suppliers who supply the same thing.
65
Why would there be an intermediary in markets?
When there is a large number of buyers and suppliers.
66
What do they do?
An intermediary acts to bring buyers and sellers together in an organised way.
67
What does the share market bring together?
Buyers (demand) and sellers (supply) of shares.
68
What are shares?
Means by which someone can have partial ownership in a public company.
69
When shares have been sold and are already in existence these are on what share market?
Secondary share market.
70
Who is the intermediary who issues shares?
The Australian securities exchange. (ASX)
71
What is the labour market?
Means by which someone can have partial ownership in a public company.
72
What are the two labour market intermediaries?
Websites and recruitment firms.
73
What is the primary reason for government intervention in markets?
To correct market failure.
74
What are the two sectors that make up the economy?
Private sector and Public sector.
75
Name a type of good that is not provided by the private sector due to lack of profitability.
Public goods.
76
What is an example of a public good?
* Defence force
* Judicial system
* Police force
* Street lights
77
What is a merit good?
A good that is underprovided by the private sector despite societal benefits.
78
Give an example of a merit good.
* Schools
* Hospitals
* Highways
79
How do governments intervene to provide public and merit goods?
By providing or paying for them, requiring government expenditure.
80
What is a de-merit good?
A good that has negative societal impacts and is believed to be excessively produced and consumed.
81
What are negative externalities?
Negative impacts that are external to the price mechanism.
82
List three common de-merit goods.
* Alcohol
* Tobacco
* Drugs
83
What are three ways the government can intervene regarding de-merit goods?
* Ban
* Restrict use
* Indirect tax
84
What does environmental degradation refer to?
The deterioration of the natural environment due to pollution and habitat destruction.
85
How does economic growth relate to environmental degradation?
Increased economic growth requires more inputs, leading to environmental problems.
86
What is the goal of governments in relation to environmental sustainability?
To preserve the environment for future generations.
87
Name one way governments can reduce environmental degradation.
* Impose regulations
* Mandate environmental studies
* Indirect taxes on harmful goods
* Subsidize environmentally friendly alternatives
88
What international agreement aims to address climate change?
The Paris Agreement.
89
What is the primary focus of macroeconomic policy?
To smooth out fluctuations in the business cycle.
90
What are the two types of macroeconomic policies?
* Monetary Policy
* Fiscal Policy
91
What is the role of the RBA in monetary policy?
To manage the cash rate to influence economic activity.
92
What are the two main goals of the RBA?
* Keep inflation within 2%-3%
* Maintain full employment (approx 4%-4.5%)
93
What does fiscal policy involve?
Decisions on government expenditure and taxation to address market failures.
94
What is the largest component of government expenditure in the 2023/24 budget?
Welfare.
95
How is the total tax collected broken down?
* Individual Tax: 50%
* Company Tax: 22%
* GST: 13%
* Excise Duties: 7%
* Other: 8%
96
What is the difference between direct and indirect taxes?
Direct taxes are paid by the entity earning income, while indirect taxes are applied to sales and paid by consumers.
97
What are the two types of taxes based on who pays them?
Direct taxes and Indirect taxes.
98
What is a Budget Deficit?
When receipts are less than expenditure (G > T).
99
What is a Budget Surplus?
When receipts are greater than expenditure (G < T).
100
What is a Balanced Budget?
When receipts equal expenditure (G = T).
101
What was the budget outcome for 2022/23?
$22bn Surplus.
102
What is an Expansionary Stance in fiscal policy?
When a budget deficit gets larger or a budget surplus gets smaller.
103
What is a Contractionary Stance in fiscal policy?
When a budget deficit gets smaller or a budget surplus gets larger.
104
How do macroeconomic policies operate in a counter-cyclical manner?
They slow down the economy if it is 'too hot' and stimulate it if 'too slow'.
105
What was the impact of COVID-19 lockdowns on taxation revenue?
Taxation revenue declined.
106
What is the main tool of government to alleviate poverty?
Fiscal Policy.
107
What are the three ways the government uses fiscal policy to alleviate poverty?
* Progressive Taxation
* Social Welfare Payments
* Provision of services (e.g., health, education, housing)
108
What is the definition of Globalisation?
The process by which the world is becoming increasingly interconnected due to trade and cultural exchange.
109
What is Innovation?
Creating a new product, service, or process, or significantly improving an existing one.
110
What does Corporate Social Responsibility (CSR) involve?
Considering the interests of stakeholders, society, and the environment in business decisions.
111
What is a Not-for-Profit Business?
A business that provides services to the community without earning a profit for its owners.
112
Fill in the blank: A _______ is a business with fewer than five employees.
Micro business.
113
What is the significance of SMEs in the Australian economy?
They provide employment for about 7 million people
114
True or False: The government mandates a National Minimum Wage as part of Fiscal Policy.
False
115
What is the outcome of government intervention on income inequality?
Reduced inequality
116
What was the gross Federal Government Debt at June 2023?
$890bn
117
What do morals refer to?
Standards of behaviour, principles of right and wrong.
118
What do ethics govern?
Moral principles that govern a person’s behaviour or the conducting of an activity.
119
What are laws?
A set of legal rules that everyone in a community is expected to obey.
120
What are rules based on?
Established customs that have evolved in a society over time, as well as morals and ethics.
121
What is the role of laws in society?
To allow us to live in peace, set limits on behaviour, and provide punishments for disobedience.
122
What does Lady Justice symbolize?
The law, with her blindfold representing equality before the law, scales for balancing needs, and sword for punishment.
123
What is justice defined as?
The concept of individuals being treated equitably and fairly.
124
What case is associated with Thomas Kelly?
R v Loveridge [2013] NSWSC 1638, involving an unprovoked attack resulting in a public outcry for justice.
125
What are the two main classifications of law?
* Private (Civil) Law
* Public Law
126
What is criminal law?
Laws to protect the general public from harm, where offenders are punished.
127
What does administrative law deal with?
Decisions and powers of government departments.
128
What is constitutional law?
Law outlining the powers and authority of the parliament and the rights of citizens.
129
What does tort law involve?
Infringement of rights resulting in distress or injury.
130
What is family law concerned with?
Regulating family relationships, including marriage and custody.
131
What are the two main branches of civil law?
* Torts
* Contract Law
132
What is negligence?
Failure to take reasonable care resulting in injury to another person.
133
What is defamation?
Damaging another person’s reputation through false statements.
134
What is nuisance?
Interference with another person’s right to quiet enjoyment of their property.
135
What does trespass involve?
Interference with another person or their property rights.
136
What is a contract?
A legally enforceable agreement between two or more parties.
137
What elements must be satisfied for a contract to be legally enforceable?
* Offer
* Acceptance
* Consideration
138
What is the Crimes Act 1900 (NSW)?
Sets out the majority of criminal offences for the state.
139
What are summary offences?
Less serious offences with penalties ranging from a bond or fine to a jail sentence of up to 2 years.
140
What are indictable offences?
Serious charges tried by a judge and jury, with punishment usually being imprisonment or a large fine.
141
What does 'actus reus' mean?
The physical act of committing a crime.
142
What does 'mens rea' mean?
The intention to commit a crime.
143
What is common law?
Law developed by judges through court decisions, rather than through statutes.
144
What is the doctrine of precedent?
The rule that established legal principles should be followed in similar cases.
145
What is common law?
Developed by judges through court decisions rather than statutes.
146
What is the 'doctrine of precedent'?
The rule that legal principles established by a superior court should be followed in similar cases.
147
What is the body of precedent known as?
Common law.
148
True or False: In a common law system, decisions of superior courts are binding on inferior courts.
True.
149
How can a precedent be created?
1) By a judge's decision when no existing law applies 2) Through statutory interpretation.
150
What is a judgement that establishes a point of law called?
Precedent.
151
What does 'stare decisis' mean?
'To stand by a decision'.
152
What is 'ratio decidendi'?
The binding part of a court decision that forms the precedent.
153
What are 'obiter dicta'?
Remarks made by a judge that are not part of the final decision and are not binding.
154
Fill in the blank: The spiritual basis of ATSI peoples' customary law is connected to _______.
[the land].
155
What is the significance of the Mabo case?
It recognized the traditional rights of Indigenous Australians and overturned the doctrine of terra nullius.
156
What does ATSI stand for?
Aboriginal and Torres Strait Islander.
157
List some features of ATSI law.
* Orally based * Agreement on laws through the group * Based on rituals and traditions * Family and Kinship ties.
158
What type of ownership do ATSI peoples have over land?
Collectively owned and considered sacred.
159
What is Circle Sentencing?
A culturally appropriate process for mediating and conciliating ATSI offenders.
160
What are some arguments for customary law?
* Active role for citizens in justice * Recognition of tribal punishment * Community understanding of decisions.
161
What are some arguments against customary law?
* Lack of recognition and understanding * Potential conflicts with human rights * Overrepresentation of ATSI in prisons.
162
What is statute law?
Laws created by parliament that have the highest status.
163
What are the two houses of the Australian Parliament?
* House of Representatives * Senate.
164
What process must a bill go through to become law?
It must pass through both houses of Parliament and receive Royal Assent.
165
True or False: Statute law can be changed by parliament.
True.
166
What is the role of a jury in civil trials?
To decide on the balance of probabilities whether the defendant is liable.
167
What is the standard of proof in criminal trials?
Beyond reasonable doubt.
168
What are some positive arguments for the jury system?
* Reflects society’s values * Independent and impartial decision makers * Reduces bribery opportunities.
169
What is the jury system?
A legal system where a group of ordinary citizens makes decisions on legal cases.
170
What is a positive argument for the jury system?
Juries are independent and impartial decision makers who are not controlled by the government.
171
Name a negative argument against the jury system.
Some people are exempt from serving, leading to a jury that is not a true cross-section of society.
172
What is one purpose of sentencing in courts?
Just punishment - the sentence punishes the offender in a manner that the community considers fair.
173
Fill in the blank: The five purposes of sentencing include Just punishment, Deterrence, ______, Denunciation, and Community protection.
Rehabilitation
174
What are some forms of punishment that NSW courts can impose?
* Court mandated behaviour change courses
* Orders to pay compensation to the victim
* Community-based sentences
* Compulsory treatment
* Bans on associating with certain people or attending certain places
175
What is a non-parole period?
The minimum prison term an offender must serve before being eligible for parole.
176
True or False: Juries must provide reasons for their decisions.
False
177
What is Legal Aid?
A state-wide organization providing legal services to socially and economically disadvantaged people.
178
What is a major negative aspect of imprisonment?
It does not act as a deterrent and fails to protect society.
179
Fill in the blank: Imprisonment is considered a measure of ______ after all other options are deemed inappropriate.
last resort
180
What is the maximum penalty for murder in NSW?
Life imprisonment.
181
What is a mandatory sentence in NSW?
A sentence set by parliament that a judge must impose for certain offences.
182
What are Intensive Correction Orders (ICOs)?
Supervised community sentences with strict conditions, including home detention and community service.
183
What is the role of judges and magistrates in courts?
They act as umpires, presiding over cases and issuing rulings and sentences.
184
What is the Coroner's Court responsible for?
Investigating deaths by unnatural causes and suspected arson.
185
What type of cases does the Family Court of Australia handle?
Complex family law matters such as divorce and parenting disputes.
186
True or False: The Local Court hears both civil and criminal matters.
True
187
What is the role of the prosecution in a criminal trial?
To represent the state and conduct the prosecution against the accused.
188
What is the significance of the High Court of Australia?
It is the highest court in Australia, deciding issues based on the Constitution and state disputes.
189
What does the term 'recidivism' refer to?
The act of repeating an undesirable behavior after punishment.
190
What are Conditional Release Orders (CROs)?
Orders for lower-level crimes that may include supervision and participation in programs.
191
Who conducts the prosecution in a criminal matter heard in the Local Court?
A specially trained police officer known as a Police Prosecutor.
192
What is the definition of a defendant?
The accused person.
193
Who typically represents a defendant in most trials?
* A solicitor or barrister
* Legal Aid
* Self-representation
194
What is the primary role of a solicitor?
Is usually the first person that someone seeking legal advice sees.
195
What does a barrister do in a courtroom?
Represents the client in court and constructs and presents arguments.
196
What is Legal Aid?
State provided (means tested) legal advice and representation in court.
197
Define capacity in a legal context.
The ability of a person to do something.
198
What is the difference between an adult and a minor in legal terms?
* Adult: a person 18 years or over
* Minor: a person under 18 years of age
199
Why does the law treat children and young people differently from adults?
* To prevent exploitation
* To protect from consequences of making uninformed decisions
* To protect others being disadvantaged if dealing with a minor
* They are a 'vulnerable' category
200
What is the focus of the legal system when dealing with young offenders?
A combination of welfare and justice with the hope of rehabilitating young people.
201
What is the minimum age of criminal responsibility in Australia?
10 years of age.
202
What does the Doli Incapax principle state?
Children 10 years and under are incapable of having criminal intent.
203
For children aged 10-14, what must the prosecution prove?
Mens rea; that the child was aware that they were doing something wrong.
204
What is the international standard for the age of criminal liability according to the UN Committee on the Rights of the Child?
Advocates for an age of criminal liability of 14 or higher.
205
What happens if a child under the age of 10 commits a criminal offence?
The matter is dealt with by parents, teachers, and other professionals.
206
What are the options for dealing with young offenders?
* Warnings
* Formal cautions
* Youth justice conferencing
* Children’s Court
207
What is the purpose of the Children’s Court?
To hear offences involving children under the age of 18.
208
What is the status of a child’s name in the Children's Court proceedings?
Names of children are suppressed and cannot be reported in the media.
209
What percentage of children and young people in custody in NSW are Aboriginal and Torres Strait Islander?
48%.
210
True or False: Children aged 10-13 can be placed in a police cell without any restrictions.
False.
211
Fill in the blank: The legal principle that treats children differently due to their presumed incapacity to commit crimes is known as _______.
Doli incapax.
212
What does the UN Convention on the Rights of the Child advocate for?
Acting in the best interests of the child.
213
What are the four key principles of the UN Convention on the Rights of the Child?
* Every child, everywhere
* The best interests of the child
* Survival, development, and protection
* A voice
214
What is the daily cost of detaining one child or young person in NSW?
$1,344.
215
What percentage of young people released from prison reoffend within 12 months?
66%.
216
What is the impact of Australia's low Minimum Age of Criminal Responsibility compared to international averages?
It disproportionately impacts Aboriginal and Torres Strait Islander youth.
217
What is international law?
International law is concerned with behaviours and actions of persons, companies, or states in cross-border situations.
## Footnote
It sets standards of acceptable behaviour for nations and their citizens.
218
How is international law developed?
International law is mainly developed from treaties and conventions between countries.
## Footnote
A treaty is a form of contract between two countries or organizations from different countries.
219
What role does the United Nations play in international law?
The UN is responsible for establishing and enforcing international law, including establishing the International Court of Justice.
## Footnote
It also deploys peacekeepers to areas of conflict around the world.
220
What is the Rome Statute?
The Rome Statute is an international treaty that governs the International Criminal Court, the world's first permanent autonomous international criminal court.
## Footnote
It outlines the jurisdiction and functioning of the court.
221
What are the advantages of dispute resolution outside of courts?
Advantages include:
* Time efficiency
* Cost savings
* Flexibility
* Confidentiality
* Finality of settlement agreements.
## Footnote
Mediation, for example, can resolve disputes more quickly than trials.
222
What is mediation?
Mediation involves parties in a dispute meeting with a neutral third party (mediator) to negotiate an agreement.
## Footnote
It aims for a compromise that both parties feel they achieved.
223
How does conciliation differ from mediation?
Conciliation is similar to mediation but involves a more interventionist approach from the conciliator, who offers opinions and views.
## Footnote
It is commonly used in industrial disputes.
224
What is arbitration?
Arbitration is a method of resolving disputes where an impartial third party decides on a settlement that is binding on the parties involved.
## Footnote
If parties cannot reach an agreement, the arbitrator makes the decision.
225
What is restorative justice?
Restorative justice allows victims and offenders to discuss the situation, often face-to-face, with other community members.
## Footnote
It focuses on healing and understanding rather than punishment.
226
What are warnings in the context of youth offenders?
Warnings are issued by police for youth under 18 who commit minor offenses, resulting in no criminal record.
## Footnote
They serve as a preventive measure rather than a punitive one.
227
What is circle sentencing?
Circle sentencing is a scheme in New South Wales where a group, including Aboriginal Elders, the victim, and the offender, decide on an appropriate sentence together.
## Footnote
It aims to avoid imprisonment for Aboriginal offenders.
228
What factors create barriers to accessing the law?
Barriers include:
* Cost
* Time
* Procedures
* Distance
* Language.
## Footnote
These factors can prevent individuals from exercising their legal rights.
229
What is the significance of legal aid?
Legal aid provides assistance to those who cannot afford legal advice and representation, targeting underprivileged members of society.
## Footnote
It plays a crucial role in ensuring access to justice.
230
True or False: Domestic law arises from international treaties.
False.
## Footnote
Domestic law is created within one country, while international law arises from treaties between countries.
231
Fill in the blank: The _______ is an international treaty that aims to foster good relationships and avoid conflict among nations.
[Charter of the United Nations]
## Footnote
It includes provisions for peaceful dispute resolution.
232
What are the three levels of government in Australia?
Federal, State, Local.
233
What document outlines how a country will be governed?
Constitution.
234
What powers does Australia's Constitution outline?
Powers of the Federal Parliament and some powers of state parliaments.
235
What act governs local governments in New South Wales?
Local Government Act.
236
What responsibilities does the Federal Government have?
* Taxation
* Education
* Foreign Affairs
* Defence
* Social Security
* Health
* Trade
* Immigration
* Aboriginal Welfare
237
What responsibilities does the State Government have?
* Health
* Education
* Law & Order
* Roads & Railways
* Housing
* Environment Protection
* Aboriginal Welfare
238
What responsibilities does the Local Government have?
* Town Planning
* Rubbish Collection
* Swimming Pools
* Parks
* Sewerage
* Streets & Bridges
* Libraries
239
How many houses are in the Federal Parliament?
Two: the Senate (upper house) and the House of Representatives (lower house).
240
Who is the head of the Federal Government?
The Prime Minister.
241
What is the role of the Cabinet in the Federal Government?
Makes key government decisions.
242
Who represents the British monarch in Australia?
The Governor-General.
243
What is the head of the State Government called?
The Premier.
244
What is the role of the Mayor in Local Government?
Head of the council.
245
What is the meaning of democracy?
Rule by the people.
246
What is the difference between direct democracy and representative democracy?
Direct democracy involves citizens voting directly on laws; representative democracy involves citizens electing representatives to make decisions.
247
What was a significant event that pressured for democratic rights in Australia?
The Eureka Stockade.
248
What demand arose in the 1880s regarding voting rights?
The vote for women.
249
What are cybercrime laws designed to address?
Internet offences such as computer hacking, child pornography, terrorism, and copyright infringement.
250
What are the three sections of government in Australia?
* Parliament (legislature)
* Executive
* Judiciary (courts)
251
What is communism?
A system of government with no private ownership, where the state supplies all needs and wants.
252
What is the difference between a true monarchy and a constitutional monarchy?
A true monarchy has a monarch with total power; a constitutional monarchy has limited powers defined by laws.
253
What defines an autocracy?
A system where one person or group holds all the power.
254
What occurs during a state of anarchy?
The system of government has broken down and laws are not enforced.
255
What is socialism?
A system where the community owns main economic resources and prioritizes social welfare.
256
What are the four principles of the Australian Greens party?
* Ecological sustainability
* Social and economic justice
* Peace
* Nonviolence
257
What is the main aim of the Australian Labor Party?
* Ensure wealth and power are shared more evenly
* Provide jobs for everyone
* Abolish poverty
* Improve living standards
258
What is the aim of the Liberal Party of Australia?
* Minimize government interference
* Encourage private business
* Maintain law and justice
259
What is the role of political parties in Australia?
Get candidates elected to Parliament to influence government decisions.
260
What is a key aim of the Australian Greens?
Protect and preserve the environment.
## Footnote
Aims include ensuring fairness and creating a harmonious world.
261
Who is the leader of the Australian Greens?
Adam Bandt.
## Footnote
He is the current leader of the party.
262
What is a pressure group?
A group that joins together to influence government decisions on a common issue.
## Footnote
They often use various strategies to publicize their cause.
263
Name three strategies used by pressure groups.
* Protest marches
* Letter and email writing campaigns
* Meetings with politicians (lobbying)
## Footnote
These methods aim to influence government decisions.
264
What is compulsory for all Australian citizens aged over 18?
Voting in federal, state, and local elections.
## Footnote
Citizens must also register on the electoral roll.
265
What are the three methods of voting in Australia?
* First Past the Post
* Preferential
* Proportional representation/optional preferential
## Footnote
These systems have different processes and implications for electoral outcomes.
266
Describe the First Past the Post voting method.
Voters place a number 1 next to their preferred candidate, and the candidate with the most votes wins.
## Footnote
This method can lead to a winner supported by a minority.
267
Explain how Preferential Voting works.
Voters rank candidates in order of preference, and candidates must receive an absolute majority to win.
## Footnote
This system allows for preferences to be counted if no candidate achieves a majority.
268
What is required for a candidate to win in the House of Representatives under Preferential Voting?
An absolute majority - half of the formal votes plus one.
## Footnote
This ensures that the winning candidate has broader support.
269
What is the purpose of the Senate voting system?
To achieve proportional representation and allow for optional preferential voting.
## Footnote
This system is designed to reflect the diversity of voter preferences.
270
What happens when there is a hung parliament?
Neither major party can form a government on their own, leading to negotiations with minor party representatives or independents.
## Footnote
This situation requires compromise to form a government.
271
What is the role of the Governor-General in the Australian government?
To sign bills into law and perform other ceremonial duties.
## Footnote
The Governor-General's role is largely procedural.
272
What is Cabinet solidarity?
The principle that all Cabinet members must support the final decision made by Cabinet, regardless of personal opinion.
## Footnote
This ensures a unified front in government.
273
What is the difference between backbenchers and frontbenchers in the House of Representatives?
Backbenchers are less experienced members who occupy the back seats, while frontbenchers are senior members with allocated portfolios who sit in the front rows.
## Footnote
Frontbenchers often have more influence on policy decisions.
274
What is the significance of the double majority in referendums?
More than 50% of all voters must vote yes, and there must be a majority in at least 4 out of 6 states.
## Footnote
This rule protects the interests of smaller states in Australia.
275
True or False: Voting is optional in Australia for citizens over 18.
False.
## Footnote
Voting is compulsory for all Australian citizens aged over 18.
276
Fill in the blank: The _______ is charged with the responsibility of running the country.
Government.
## Footnote
This includes developing and implementing policies.
277
What are the two main types of political action?
* Indirect Political Action
* Direct Political Action
## Footnote
These actions can overlap and aim to influence decision-making.
278
What is non-violent direct action?
Civil resistance that uses non-violent methods to bring attention to issues.
## Footnote
Examples include marches, demonstrations, and peaceful protests.
279
What is an example of violent direct action?
Rioting.
## Footnote
Violent direct action involves physical force against individuals or property.
280
What is the process for changing the Constitution in Australia?
* Approval by both Houses of Federal Parliament
* Referendum within 6 months
* Majority of voters and majority in at least 4 states
## Footnote
This process is designed to ensure broad support for constitutional changes.
281
Since 1901, how many referendums have proposed changes to the Constitution?
19 referendums proposing 44 changes.
## Footnote
Only 8 changes have been successfully agreed upon.
282
What does the Constitution protect?
The interests of the smaller states.
## Footnote
This is to prevent larger states from out-voting smaller states.
283
What is a double majority?
A requirement for a referendum to pass, needing majority support from both the population and majority of states.
## Footnote
Without this, larger states could dominate decision-making.
284
How many referendums have proposed changes to the Australian Constitution since 1901?
19 referendums proposing 44 changes.
## Footnote
Only 8 changes have been agreed to.
285
What are the three different sections of government in Australia?
Parliament, Executive, Judiciary.
## Footnote
Each section has distinct functions.
286
What is the role of the Legislative arm?
To make laws.
## Footnote
This includes the Parliament, which consists of two houses.
287
Who exercises executive power in Australia?
The Governor-General and government ministers.
## Footnote
Ministers are responsible for specific government areas.
288
What does the Judicial arm do?
Enforces the law and settles disputes.
## Footnote
Judges maintain independence from the executive.
289
What is the purpose of the separation of powers?
To provide a system of checks and balances on government power.
## Footnote
Ensures that no single entity holds all power.
290
What is the Federal Government responsible for?
* Taxation
* Education
* Foreign Affairs
* Defence
* Social Security
* Health
* Trade
* Immigration
* Aboriginal Welfare
## Footnote
These powers are outlined in the Constitution.
291
What are the responsibilities of State Government?
* Health
* Education
* Law & Order
* Roads & Railways
* Housing
## Footnote
State governments also handle environmental protection.
292
What do Local Governments manage?
* Town Planning
* Rubbish Collection
* Parks
* Libraries
* Swimming Pools
* Sewerage
* Streets & Bridges
## Footnote
They focus on local community needs.
293
What is a Constitution?
A document that outlines how an organization or country will be governed.
## Footnote
Australia's Constitution specifies the powers of Federal and State parliaments.
294
What was the Eureka Stockade?
A pivotal event in 1854 where miners protested for democratic rights.
## Footnote
It led to significant political reforms in Australia.
295
What is the significance of women's suffrage in Australia?
The right to vote for women was achieved in 1902, following long campaigns.
## Footnote
The first law was passed in South Australia in 1894.
296
What are cybercrime laws designed to address?
Internet offences such as hacking, child pornography, and terrorism.
## Footnote
These laws require ISPs to retain user data for law enforcement.
297
What does democracy mean?
Rule by the people.
## Footnote
Originates from the Greek words 'demos' (the people) and 'kratos' (to rule).
298
What is representative democracy?
A system where citizens elect representatives to make decisions on their behalf.
## Footnote
This contrasts with direct democracy.
299
What is the Westminster system?
A political system with a head of state and head of government as separate entities.
## Footnote
It includes a bicameral parliament.
300
What is communism?
A system of government with no private ownership, where the state owns all means of production.
## Footnote
Based on theories of Karl Marx and Friedrich Engels.
301
What is a monarchy?
A system of government where a monarch has supreme power.
## Footnote
This can vary from absolute to constitutional monarchy.
302
What is a defining characteristic of communism?
No private ownership; all resources owned by the government.
## Footnote
Communism aims to meet the needs and wants of citizens through state ownership.
303
What major change occurred in former communist countries since the early 1990s?
Dramatic changes in political and economic systems.
## Footnote
Countries in the USSR and Eastern Europe shifted away from strict communist rule.
304
What distinguishes a true monarchy from a constitutional monarchy?
True monarchy has total supreme power; constitutional monarchy has limited powers by law.
## Footnote
Examples of true monarchies include Oman and Kuwait.
305
Define autocracy.
A system where one person or group holds all power, often authoritarian.
## Footnote
Autocracies are typically oppressive regimes.
306
What is anarchy?
A state where government has broken down and laws are not enforced.
## Footnote
Anarchy often occurs during civil wars, such as in Syria.
307
What is socialism?
A system where ownership of economic resources is in the hands of the community.
## Footnote
Socialism prioritizes social welfare and income equality.
308
What are the key features of fascism?
Strong centralized power, no opposition, aggressive nationalism, and anti-communism.
## Footnote
Adolf Hitler's regime is a historical example of fascism.
309
What is the primary role of political parties?
To get candidates elected to influence government decisions.
## Footnote
Political parties unite individuals with shared views on issues.
310
What are the aims of the Australian Labor Party (ALP)?
* Ensure wealth and power are fairly shared
* Provide jobs for all
* Abolish poverty
* Improve living standards
* Ensure access to education, housing, and services
## Footnote
The ALP is led by Anthony Albanese.
311
What does the Liberal Party of Australia promote?
* Absolute rights
* Freedom of all people
* A lean government with minimal interference
* Support for private businesses
## Footnote
The Liberal Party has governed Australia for a significant portion of its history.
312
What are the founding principles of the National Party of Australia?
* Ecological sustainability
* Social and economic justice
* Peace
* Nonviolence
## Footnote
The National Party mainly represents rural and regional Australians.
313
What strategies do pressure groups use to influence government decisions?
* Protest marches
* Letter writing campaigns
* Media events
* Lobbying politicians
* Recommendations to government
* Online community engagement
* Running for election
## Footnote
Pressure groups aim to raise awareness and influence policy.
314
What are the responsibilities of citizens in a democratic process?
* Register on the electoral roll
* Vote in elections
* Pay taxes
* Obey laws
* Serve on a jury
* Defend the country during war
## Footnote
These responsibilities ensure active participation in democracy.
315
What voting method is used in Australia that allows voters to express preferences?
Preferential voting.
## Footnote
Voters rank candidates in order of preference.
316
What is the purpose of the House of Representatives in Australian politics?
To elect representatives who make laws and govern the country.
## Footnote
The House is involved in forming the government based on majority.
317
What is cabinet solidarity?
The principle that cabinet members must support decisions made by the cabinet.
## Footnote
This ensures a unified front for government policies.
318
What is a hung parliament?
A situation where neither major party can form a government on its own.
## Footnote
Minor parties or independents often play a crucial role in deciding government formation.
319
What is the role of the Prime Minister in Australian politics?
To set the policy agenda and lead the government.
## Footnote
The Prime Minister has significant decision-making power, often influencing cabinet discussions.
320
Describe the process of policy development in the Australian government.
* Review existing practices
* Invite submissions from the public
* Make recommendations based on the review
## Footnote
This process allows for public input in shaping government policy.
321
What is the difference between backbenchers and frontbenchers in the House of Representatives?
Backbenchers are less experienced and occupy the back seats; frontbenchers are senior members with significant influence.
## Footnote
Frontbenchers include cabinet members responsible for specific portfolios.
322
What is the primary responsibility of education provision in Australia?
State government responsibility since federation.
323
Since when has the Commonwealth government provided additional funding to schools?
Since the 1960s.
324
What are the two main types of Political Action?
* Indirect Political Action
* Direct Political Action
325
What is the purpose of Political Action?
To influence the legislature and decision-making process.
326
What are some forms of Direct Political Action?
* Non-violent
* Violent
327
What is Civil Resistance?
The use of non-violence to highlight a troubling issue.
328
List some forms of non-violent Direct Action.
* Marches
* Demonstrations
* Boycotts
* Silent vigils
* Petitions
* Peaceful street protest
* Strikes
* Picketing
329
What constitutes Violent Direct Action?
Any action that uses physical injurious force against persons or property.
330
Provide examples of Violent Direct Action.
* Rioting
* Terrorism
* Political Assassination
331
What is a pressure group?
A group that tries to influence public policy for a particular cause.
332
What are some strategies used by pressure groups?
* Protest marches
* Letter and email campaigns
* Media events
* Lobbying politicians
* Recommendations to government
* Social media campaigns
* Standing for election
333
What is the process for changing the Australian Constitution?
* Approval by both Houses of Federal Parliament
* Vote in a referendum within 6 months
* Majority of voters must vote 'yes'
334
What is required for a referendum to pass in Australia?
* More than 50% of all voters must vote yes
* Majority in at least 4 of the 6 states (double majority)
335
What is the 'double majority' requirement?
Majority of votes and majority in at least 4 out of 6 states.
336
True or False: Since 1901, only 8 out of 44 proposed constitutional changes have been agreed to.
True.
337
How many sections are there in the Australian government?
Three.
338
What are the three sections of government in Australia?
* Legislature (Parliament)
* Executive
* Judiciary (Courts)
339
What is the legislative arm responsible for?
Making laws.
340
Who exercises executive power in Australia?
Government ministers.
341
What is the role of the Judicial arm?
Enforcing the law and settling legal disputes.
342
What safeguards does the Westminster system provide?
Separation of Powers.
343
What does the separation of powers ensure?
No one person or organization has all the power.
344
What is the division of powers in Australia?
* Federal Government: National issues
* State Government: Local issues
* Local Government: Community needs
345
What is investment?
Money spent to gain a profitable return.
## Footnote
Investment can involve various forms such as new machinery, technologies, and workforce development.
346
List reasons why businesses invest.
* New machinery
* Technologies
* Factories
* Product initiatives
* People (entrepreneurs)
* Other firms
* Their own workforces
## Footnote
Investments aim to increase profit levels.
347
Why do individuals invest their savings?
* Desire for extra income
* Future security
* Major purchases
* Funding holidays or education
* Comfortable retirement
## Footnote
Goals may be short term, medium term, or long term.
348
What is financing in the context of investing?
How an investment will be paid for.
## Footnote
Investors can use savings or borrow money to finance their investments.
349
What is superannuation?
Savings for retirement
## Footnote
Compulsory Superannuation was introduced in Australia in the early 1990s.
350
What is the current superannuation contribution rate in Australia?
11.5%
## Footnote
This rate is legislated to increase to 12% in 2025.
351
What is a mortgage?
Loan used to finance property purchase.
## Footnote
Most homeowners first finance their property purchase through a mortgage.
352
True or False: A fixed interest rate loan can usually be paid off before the set date without penalties.
False.
## Footnote
Fixed interest loans typically incur penalty fees if paid off early.
353
What are some advantages of using savings to finance investments?
* Less risky
* Can increase with wage growth
* Superannuation is employer-provided
## Footnote
Forced savings through superannuation can benefit individuals.
354
What are some disadvantages of borrowing money to finance investments?
* Fees for missed repayments
* Potential increase in interest rates
* Risky if job loss occurs
## Footnote
Borrowing can lead to financial strain if not managed properly.
355
What factors should be considered when making investment decisions?
* Amount to invest
* Term of investment
* Investment goals
* Risk
* Return
* Costs and charges
* Liquidity
* State of the economy
* Type of investment option
## Footnote
These considerations help in formulating an effective investment strategy.
356
What does 'return' refer to in investing?
Financial benefit for allowing use of money.
## Footnote
Investors expect a return when they invest their money.
357
What does 'risk' refer to in investing?
Uncertainty of investment returns.
## Footnote
Risk depends on factors like investor confidence and market changes.
358
What are cash management accounts?
Accounts allowing withdrawals and deposits anytime.
## Footnote
They typically require a substantial minimum balance.
359
What is the main disadvantage of term deposits?
Cannot withdraw or add to deposit during the term.
## Footnote
Higher interest rates are offered in exchange for restricted access.
360
What is a share?
Part ownership in a company.
## Footnote
Shareholders have rights to a share of the profit (dividends).
361
List some factors influencing a stock's price.
* Economic growth
* Company performance
* Global conflicts
* Oil prices
## Footnote
Both internal and external factors affect stock prices.
362
What is diversification in investing?
Spreading investments across various assets.
## Footnote
This strategy reduces risk by not putting all 'eggs' in one basket.
363
What types of properties do Australians commonly invest in?
* Residential properties
* Commercial properties
## Footnote
Capital growth in property investment has been stable.
364
What is a debenture?
.Long-term loan issued by a company
## Footnote
It is repaid over time at a fixed interest rate.
365
What is the main difference between debentures and unsecured notes?
Unsecured notes are not secured against business assets.
## Footnote
They carry a higher risk and typically offer higher interest rates.
366
What are cryptocurrencies?
Digital finances traded in the virtual world.
## Footnote
Bitcoin is a well-known example with capped production.
367
What is ethical investing?
Investing in companies aligned with personal beliefs and values.
## Footnote
It often involves negative and positive screening.
368
What is negative screening in ethical investing?
Avoiding investment in certain types of firms.
## Footnote
Examples include companies producing tobacco or alcohol.
369
What is positive screening in ethical investing?
Investing in firms involved in desirable activities.
## Footnote
Examples include renewable energy companies.
370
What is investment?
Money spent to gain a profitable return.
## Footnote
Investment can involve various forms such as new machinery, technologies, and workforce development.
371
List reasons why businesses invest.
* New machinery
* Technologies
* Factories
* Product initiatives
* People (entrepreneurs)
* Other firms
* Their own workforces
## Footnote
Investments aim to increase profit levels.
372
Why do individuals invest their savings?
* Desire for extra income
* Future security
* Major purchases
* Funding holidays or education
* Comfortable retirement
## Footnote
Goals may be short term, medium term, or long term.
373
What is financing in the context of investing?
How an investment will be paid for.
## Footnote
Investors can use savings or borrow money to finance their investments.
374
What is a mortgage?
Loan used to finance property purchase
## Footnote
Most homeowners first finance their property purchase through a mortgage.
375
True or False: A fixed interest rate loan can usually be paid off before the set date without penalties.
False
## Footnote
Fixed interest loans typically incur penalty fees if paid off early.
376
What are some advantages of using savings to finance investments?
* Less risky
* Can increase with wage growth
* Superannuation is employer-provided
## Footnote
Forced savings through superannuation can benefit individuals.
377
What are some disadvantages of borrowing money to finance investments?
* Fees for missed repayments
* Potential increase in interest rates
* Risky if job loss occurs
## Footnote
Borrowing can lead to financial strain if not managed properly.
378
What factors should be considered when making investment decisions?
* Amount to invest
* Term of investment
* Investment goals
* Risk
* Return
* Costs and charges
* Liquidity
* State of the economy
* Type of investment option
## Footnote
These considerations help in formulating an effective investment strategy.
379
What does 'return' refer to in investing?
Financial benefit for allowing use of money.
## Footnote
Investors expect a return when they invest their money.
380
What does 'risk' refer to in investing?
Uncertainty of investment returns.
## Footnote
Risk depends on factors like investor confidence and market changes.
381
What are cash management accounts?
Accounts allowing withdrawals and deposits anytime.
## Footnote
They typically require a substantial minimum balance.
382
What is the main disadvantage of term deposits?
Cannot withdraw or add to deposit during the term.
## Footnote
Higher interest rates are offered in exchange for restricted access.
383
List some factors influencing a stock's price.
* Economic growth
* Company performance
* Global conflicts
* Oil prices
## Footnote
Both internal and external factors affect stock prices.
384
What are managed funds?
Pooled money from multiple investors managed by professionals
## Footnote
They invest in assets like property, shares, or bonds.
385
What is the main difference between debentures and unsecured notes?
Unsecured notes are not secured against business assets.
## Footnote
They carry a higher risk and typically offer higher interest rates.
386
What are cryptocurrencies?
Digital finances traded in the virtual world
## Footnote
Bitcoin is a well-known example with capped production.
387
What is ethical investing?
Investing in companies aligned with personal beliefs and values.
## Footnote
It often involves negative and positive screening.
388
What is negative screening in ethical investing?
Avoiding investment in certain types of firms.
## Footnote
Examples include companies producing tobacco or alcohol.
389
What is positive screening in ethical investing?
Investing in firms involved in desirable activities.
## Footnote
Examples include renewable energy companies.
