Definitions
Goods and services sold by local businesses to overseas consumers
Exports
The type of business that has between five to twenty employees
Small Business
What are the main phases of the business cycle (5)
Expansion, Boom, Recession, Depression, Contraction
What five sectors comprise the Australian economy?
1. Household
2. Business (firms)
3. Financial
4. Government
5. Overseas
The world's richest person.
Elon Musk
The use of money to purchase equipment or premises for the establishment of a new business or the expansion of an existing business
Investments
The type of market where we buy most of our goods and services from
Retail Markets
The cyclical fluctuations in the level of economic activity that an economy goes through over time
What are the examples of leakages from the circular flow of income model
Savings, Taxation, Imports
When individuals deposit money, what do financial intermediaries usually do with that money?
Lend the money to other individuals or business
A large business that has branches in more than one country
Transnational Corporation
What is being bought and sold on financial markets?
Money
What are the main economic problems during a recession?
- Low levels of income and production
- High levels of unemployment;
- No, or very little, increase in salaries and wages;
- Declining business sales and profit.
What are the examples of injections from the circular flow of income model
Investment, expenditure, exports
A general rise in prices across all sectors of the economy, causing money to lose its value
Inflation
The cyclical fluctuations in the general level of economic activity
What is being bought and sold on the labour market?
Employee Skills and Effort
Between how many employees does a medium business have?
A medium business has between 20-199 (200) employees
Which sector of the five-sector circular flow of income model focuses on imports and exports
Overseas Sector
Provide an example of a financial intermediary
Banks