GDP
What are the three basic economic indicators?
GDP, Inflation, and Unemployment
A rise in the general price levels of goods and services.
The group of people who are non-military, non-institutionalized, and 16 years of age or older are eligible to work.
Civilian Labor Force AKA CLF
Business Cycle means?
The recurring ups and downs in GDP.
Expansionary monetary Policy is
The Feds allow the money to grow and interest rates to fall.
The dollar amount of all final goods and services produced in a single year within a nation's borders.
GDP
The report of the price changes for about 80,000 of the most commonly-used items in the U.S. is also known as the?
Consumer Price Index AKA CPI
What are the three types of Unemployment?
Frictional unemployment
Structural unemployment
Cyclical unemployment
When does recession end
When does the recovery begin
Trough
Th feds allow the money supply to decrease and intertest rates to rise is
Contractionary monetary policy. (Tight)
Output Expenditure Model Equation
GDP= C+I+G+ (X-M)
What is the Federal Reserve?
Central Bank
When a worker is in between jobs or looking for his first job.
Frictional unemployment
When does recession begin.
When does recovery end.
Peak
Two types of fiscal policy.
Expansionary fiscal policy
Contractionary fiscal policy
What does C, G, and I stand for in GDP?
C- Consumer Sector
G- Government Sector
I- Investment Sector
True or False- The Feds are owned and controlled by the government?
False
Seasonal unemployment and Technological unemployment are both what types of unemployment.
Structural unemployment
What are the four main causes explaining changes in real GDP (Increases and Decreases)
Business's expectations
Innovation & Imitations
Changes in savings & spending
External factors
What is the point of a fiscal policy
To change aggregate demand
All final goods and services made in a single year produced by a nation's companies.
GNP
The Inflation Rate equation is.
CPI in the later year-CPI in the earlier year over CPI in the earlier year X 100.
If there is a recession and sales are low. If there is an expansion and sales are high are examples of what type of unemployment?
Cyclical unemployment.
Shortages of goods and services all over the economy
High Rates of Unemployment.
Idle resources.
Are all characteristics of what?
Characteristics of a depression
What are two bad outcomes in stagflation.
Unemployment goes up
Inflation goes up