GDP Basics
This term represents the total value of all final goods and services produced in a country in one year.
What is Gross Domestic Product (GDP)?
The percentage of people in the labor force who cannot find work.
What is the unemployment rate?
This term describes the recurring ups and downs of economic activity.
What is the business cycle?
An increase in the general level of prices.
What is inflation?
A financial instrument representing ownership in a corporation.
What is a stock?
GDP does NOT include this type of work you do for yourself.
What is yardwork or home repairs?
The number of people actively working or seeking work in the US.
What is 167 million people?
The phase where the economy is at its peak, with high employment and production.
What is prosperity?
The opposite of inflation, where prices generally decrease.
What is deflation?
A way of lending money to a company that earns interest.
What is a bond?
These 4 major categories are included when calculating GDP.
What are consumer spending, business spending, government spending, and net exports?
This measures production output in relation to worker input.
What is productivity?
A long period of high unemployment and business failures.
What is a depression?
The cost of borrowing money.
What are interest rates?
Common types of consumer borrowing include these. (3)
What are credit cards, auto loans, and mortgages?
This per person measurement divides total GDP by population.
What is GDP per capita?
There are 4 things that can influence productivity. Improvements in what is an example?
What is technology?
The phase where unemployment decreases and consumer confidence returns.
What is recovery?
When a government spends more than it takes in.
What is a budget deficit?
When a government spends less than it takes in.
What is a budget surplus?
Intermediate goods like steel are NOT included in GDP to prevent this. When are they counted?
What is when they are a finished good such as a car?
The total of salaries, wages, and investment income paid to individuals.
What is personal income?
During this phase, demand decreases and businesses lower production.
What is a recession?
Money spent by a business on long-lasting items like equipment.
What are capital projects?
The total amount owed by the federal government.
What is the national debt?