Business Ownership
Market Structures
Unemployment
The National Debt
Business Cycles
100
What is a creditor?
An individual who lends money
100
A perfectly competitive industry is characterized by what?
Low profits or many marginal producers
100
What is Canada's overall unemployment rate?
Approximately 7%
100
It is not acceptable to borrow to pay for what expense?
Current operating expenses
100
Business cycles are the fluctuations in aggregate demand common in what type of economies?
Market economies
200
If a business goes bankrupt or is sued, the owner’s personal assets may be seized to cover the costs. What type of liability is this?
Unlimited liability
200
What are the 3 types of industries we learned about?
Primary, secondary, and tertiary
200
What are the 4 types of unemployment?
Frictional, seasonal, cyclical, and structural unemployment
200
When gauging how much debt is too much, the ratio used by economists is what?
Debt over current GDP ratio
200
An increase in economic activity that causes a chain is known as what?
The multiplier effect
300
What type of ownership is a business owned by shareholders?
A corporation
300
If a producer attempts to sell above market price his sales will drop to what?
Zero
300
Who is included in the labour force?
All Canadians 15 and over who either have jobs or are actively seeking employment
300
What is a deficit that is built into the budget structure?
A structural deficit
300
How many successive quarters of negative GDP growth causes a recession?
2 successive quarters
400
What 2 types of business ownership have unlimited liability?
A sole proprietorship and a partnership
400
Name the 4 different types of market structures we learned about.
Monopoly, oligopoly, monopolistic competition, and perfect competition
400
How is the unemployment rate calculated?
The unemployed in labour force is divided by the labour force then multiplied by 100
400
This term includes high unemployment, high inflation, and high interest rates
Stagflation
400
During a recovery in an economy how is inflation and unemployment effected?
Inflation increases, unemployment decreases
500
What is it known as when a business would like to convert to a different type of ownership?
Demutualization
500
In perfect competition, firms are forced to sell their products at what price?
The same price as competitors
500
What are the 5 social costs of unemployment we have learned about?
Stress, discouragement, lower self-esteem, disrupted family life, and financial hardship
500
What are the 3 reasons governments borrow money?
To purchase assets, to finance budget deficits, and to finance wartime expenditures
500
What are the 3 main factors that contribute to fluctuating aggregate demand?
Fluctuation in investments, the multiplier effect, and fluctuations in exports
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