Macro
Per capita is from where and what does is mean?
latin phrase that means "per head"
what is the law of demand and supply? (answer the full question for full points)
demand - negative relationship between a good's price and quantity demanded
supply - positive relation between price and quantity supplied
Marshall plan ends?
June 1951
What is the difference between of Microeconomics and Macroeconomics?
Micro is the study of individuals and business decisions, while macroeconomics looks at the decisions of countries and governments.
who wrote "even at the time of reunification... East German productivity and per captia national income were probably about half those of West Germany"
or
what percent was East Germany's GDP of West Germany, by the end of the Cold War?
Economist Charles Maier
or
69 percent of that of West Germany
Average labor productivity
1. input prices- what suppliers have to purchase to supply product
2. Technology- changes in how businesses operate, hence quantity supplied
3. Expectations - prices to rise in the future, supplier may reduce quantity of supply and store some for later
4. Number of sellers - more sellers enter market, quantity supplied will increase
SALT II is signed by the United States and the Soviet Union
June 17, 1979
what is the difference between trade-offs and opportunity cost?
Trade-offs is the chose we make that requires us to give up something to get something else but the opportunity cost is WHAT you give up.
Bretton Woods system: system established that the U.S. dollar was the primary currency, so how much, per ounce, was the U.S. dollar worth in when converted to gold?
35$
When exports exceed imports, economists say that a country is running _______ _______ but when exports are less than imports, country is running on _______ ______.
Trade surplus, trade deficit
What are 5 factors that change the demand curve? ( yes name all 5)
1. income
2. the prices of related goods(substitutes and compliments)
3. Tastes
4. Expectations
5. Number of Buyers
created 1944 and lasted until 1971
Who is Pareto efficiency named after.
Italian economist Vilfredo Pareto (1848-1923)
The American economic model relied, more or less, on what?
Markets to organize production.
What implies that the economy's aggregate production and price level are determined by the intersection of AD and AS?
Keynesian model
what are pork barrel politics?
the proclivity(tendency) of elected officials to introduce projects that steer money to their communities
When was the General Agreement on Tariffs and Trade signed?
1947 (GATT)
what do economic models do?
Help us understand economic phenomena by capturing essential details and eliminating unnecessary details.
The soviet economic system model relied on what?
Centralized control that emphasized heavy industry. Command economy is also acceptable.
what is the impact on inflation and unemployment?
Inflation - economic downturn by causing a rapid rise in prices of products and services in the economy or decline in production and consumption of products and services (decline in GDP)
Unemployment - decline in work opportunities in a country, increase in poverty, or decline in consumption and per capita.
what is the proper role for government? (you get the points if you get on one correct answer)
1. enforcement of the rule of law
2. support a range of transactions
3. Protection of property
4. correct market failures arising
Through what years was the most notable decline in output in the US economy? (hint: since 1900)
1929-1933
points that lie within the PPF show an inefficient or underutilization of resources. This is what? (hint: bird)
Pareto inefficient
What was East Germany's plausible Growth rate in GDP per captia from 1950-1989?
3.77 percent but official estimate was 5.62 percent