Expansion
Contraction
Peak/Trough
Money/The Economy
Unemployment
100
What is the phase of a business cycle that occurs after a trough and before a peak?
What is Expansion
100
What is the top example of an extreme contraction [1929]
What is The Great Depression?
100
Define trough.
What is the end of a period of declining business activity and the transition to expansion.
100
When everyone who wants a job has a job.
What is full employment?
100
Unemployment that occurs in a contractionary period.
What is Cyclical unemploymen?
200
Another name for expansion.
What is economic recovery?
200
This marks the beginning of a recession in the business cycle
What is Peak?
200
All of these are part of GDP formula except...?
A. Consumption Spending
B. Government Spending
C. Net Exports (exports-imports)
D. Net Imports (imports-exports)
E. Business Investment
D. Net Imports
200
I am just tired of looking for work, there are no jobs out there.
What is a discouraged worker?
200
unemployment that occurs because of lack of skills to fill open jobs.
What is structural unemployment?
300
The Highest point the economy reaches?
What is a peak?
300
What happens when the GDP turns negative?
What is a contraction?
300
The amount of people being hired during a peak.
What is little or none?
300
The most liquid form of currency is...?
Money
300
What happens to the unemployment rate during a trough?
:( Only a few people have jobs
400
Right before depression or our lowest point in the cycle?
What is a trough?
400
A contraction that lasts longer than 6 month.
What is a recession?
400
Which of the following is most likely included in GDP
A. Matt gives his secondhand (used) bicycle to his brother
B.Sal paints his own bicycle
C.Ali buys a new bicycle
D.Daniel bikes to school every day
C. Ali buys a new bycycle
400
Economic growth occurs when
What is a sustained increase in GDP.
400
Unemployment that happens naturally due to firing and quitting.
What is frictional?
500
This occurs during an expansion.
What is when the Federal Reserve lowers interest rates and buys back bonds in the open market to add money to the financial system?
[consumer confidence is high, large investments by business, large purchases, more savings, etc]
500
Recession causes which of these Unemployments?
Cyclical
500
The Federal Reserve does what?
"The Fed" are in charge of interest rates coining and printing money.
500
Which of these is Standard of Value?
A teenager buying a prom dress
Comparing prices of 2 laptops
A man saving for retirement
Comparing prices of laptops. For Standard of value, The item must last over time without spoiling or decaying (unlike perishable goods like milk
500
When the economy is at full employment, this is the rate of unemployment still present...
What is natural rate of unemployment?
4-6%