Introductory Economics
Supply and Demand
Measuring the Economy
Fiscal and Monetary Policy
Mix of Categories
100
To produce more number of a good product or service than competitors, using the same amount of resources.
What is absolute advantage?
100
Want or desire to possess a good or service with the necessary goods, services.
What is demand?
100
A sustained increase in the general level of prices for goods and services.
What is inflation?
100
Government spending and decreases in taxes.
What is contractionary monetary policy?
100
The buying and selling of of government securities in financial markets.
What is open market operation?
200
States that if countries specialize in producing goods where they have a lower opportunity cost then there will be an increase in economic welfare.
What is comparative advantage?
200
Factors being equal, as the price of a good or service increases, consumer demand for the good or service will decrease.
What is the law of demand?
200
The total value of goods produced and services provided by a country during one year, equal to the gross domestic product plus the net income from foreign investments.
What is a Gross National Product?
200
Increase/decrease in resources, Productivity,Government Action.
What are the AS shifters?
200
When government adjusts its spending levels and tax rates to monitor and influence a nation's economy
What is Fiscal Policy?
300
An economy in which production, investment, prices, and incomes are determined centrally by a government.
What is command economy?
300
Number of Buyers,Tastes,Income,Expectations of Buyers,Price of Related Goods.
What are the Demand Shifters?
300
Frictional,Structural,Cyclical,Technological,Seasonal.
What are the types of unemployment?
300
Automatic and Discretionary.
What are the stabilizers?
300
Anything that increases the government budget deficit during a recession without requiring specific action from policy makers.
What is an automatic stabilizer?
400
Scarcity,trade offs,unemployment.
What are the principles of economics?
400
indicates that the supply produced is below that of the quantity being demanded by the consumers.
What is a shortage?
400
Year 1 Real GDP /population in Year 1.
What is the formula for Real GDP per capita?
400
Economic theory of total spending in the economy and its effects on output and inflation.
What is Keynesian Economics?
400
Rate at which banks borrow reserves from each other
What is the Federal Fund Rate?
500
Resources are used to produce one or both of only two goods,the quantities of the resources do not change, technology and production techniques do not change, and resources are used in a technically efficient way.
What are the 4 basic assumptions?
500
Indicates that the quantity of a good or service exceeds the demand for that particular good at the price in which the producers would wish to sell.
What is a surplus?
500
The market value of everything produced within a country vs the value of what’s produced by a country’s residents, no matter where they live.
What is the difference between Real GDP vs Nominal GDP?
500
Investment,Government and Tax.
What are the multipliers?
500
This is % change in quantity / % change in price
What is the demand elasticity equation?
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