Circular Flow
Model that describes the flow of income between different sectors of the economy
Circular Flow
100 Each: What are the Three types of consumption
Durable, non-durable goods, and services
GDP stands for
Gross Domestic Product
The measure of price increases of products in the economy, year over year
Inflation
Where does Spongebob work
The Krusty Krab
Flows of resources and goods and services
Real flows
When a country imports more than it exports, it has a trade d______
deficit
Only this type of good and service "counts" toward GDP totals
Final goods/services
People looking for work as a proportion of the total labour force
Unemployment rate
What intellectual property is Plankton constantly trying to steal?
The Krabby Patty Secret Formula
Sector that produces goods and services such as education, defence, and health
Government Sector
Two factors that influence consumer expenditure
Disposable income
Interest rates
Expectations
Household confidence
Stock of wealth
government policy
The largest category of GDP
Consumption
The measure of the average individual's contribution to Gross Domestic Product of a country
GDP per capita
List 3 factors of production for a Krabby Patty
Labour (Spongebob)
Capital (Spatula/Grill)
Natural Resources (Ingredients)
Technology (Secret Formula)
Flows of money in and out of the economy are called
Injections and leakages
The most important factor affecting consumer expenditure
Income
2 flaws with using GDP to measure the success of a country's economy
Inflation can make GDP look bigger even without more productivity
Unpaid/black market labour doesn't count
Doesn't factor inequality
Investor confidence is often referred to in terms of two different animals. One of these animals has a prominent statue on Wall Street in NYC. What two animals are these?
Bull & Bear
What instrument does Squidward play?
Clarinet
In economics, which of the following is an example of investment expenditure?
(a) households purchase shares on the stock exchange
(b) firms purchase government securities
(c) firms purchase new capital equipment
(d) firms make compulsory contributions to superannuation funds
(a) Households purchase shares on the stock market
Australia's GDP in 2023 (USD)
~$1.77 Trillion USD
~$1,770,000,000,000
Full GDP formula
GDP = C + I + G + (X-M)
Two consecutive quarters of negative GDP growth
Recession
What cause of market failure occurs at SpongeBob's workplace?
Monopolistic Competition due to secretive intellectual property of the Krabby Patty.
Duopoly/monopoly - Only Krusty Krab & Chum Bucket as fast food restaraunts.
Market Power