Chapter 7 Vocabulary

An action or a decision that later serves as an example Precedent: An action or a decision that later serves as an example Call me, “Mr. President”.

The total amount of money owed by a country to its lenders. National debt: The total amount of money owed by a country to its lenders.

Economy: the process or system by which goods and services are produced, sold, and bought in a country or region

Bonds: A certificate that represents money the government has borrowed from private citizens

Speculators: An investor who buys an item at low prices in hope that their values will rise.

Strict construction: A way of interpreting the Constitution in which the government can only use the powers outlined in the Constitution.

Loose construction: A way of interpreting the Constitution that allows the government to take actions the Constitution does not specifically forbid

Bank of the United States A national bank chartered( to create a corporation) by Congress in 1791 to provide security for the United States economy

Neutral: Unbiased, not favoring either side of a conflict

Political parties: A group of people who organize to help elect government officials and influence government policies.