GDP
This is the total market value of all final goods and services produced in a nation in a given time frame
Gross Domestic Product
16 years old
You just graduated college with an accounting degree but can't get an accounting job. You wait tables to help pay bills. You are known as what type of worker?
underemployed
This is the rise of price level
inflation
this is known as the fluctuations of the economy
business cycle
True or False:
Used goods are included in GDP.
Part time workers are included in the labor force.
Maddox wants to live somewhere differently and moves to NYC. He begins looking for a job. What type of unemployment is he?
frictional unemployment
this is when price level decreases
deflation
this is the part of the business cycle when GDP begins to level off
trough
True or False:
Marc cuts his own grass. This is included in GDP.
False. Non-market production excluded
What must you be doing to be considered unemployed?
actively looking for work
Lana's job was replaced by technology. What type of unemployed worker is she?
structural unemployed
this is extreme inflation
hyperinflation
this is the part of the business cycle when GDP has reached it highest
peak
Flour, eggs, yeast, bread
Which is included in GDP?
bread (only final product)
Mac Prisoner #24601 make picnic tables in prison. Is he included in the labor force?
no - non-institutionalized not included
Christen loses her job when her business closes due to the recent recession. What type of unemployment is this?
cyclical unemployment
This theory states inflation occurs when the government injects too much money into the economy
quantity theory
The economy is said to be in this when GDP falls for six straight months
recession
True or False:
A U.S. company located overseas is not included in GDP.
Susie was looking for work for over a year. She then gave up looking for work. She is no longer included in the unemployment rate. What type of worker has she become?
discouraged worker
(unemployed/labor force ) 100
this theory states inflation occurs when the costs of production increases
cost-push inflation
This phase of the business cycle is when GDP begins to increase and cyclical unemployment begins to decrease
expansion/recovery phase