Measuring Economies
This is what GDP stands for.
What is Gross Domestic Product?
This theory explains inflation as being caused by increased production costs.
What is the Cost-Push Theory of Inflation?
This type of monetary policy is used to increase the money supply.
What is expansionary monetary policy?
This is the ability to produce a good at a lower opportunity cost than another country.
What is comparative advantage?
This economic system involves state ownership of resources.
What is socialism?
This version of GDP is adjusted for inflation.
What is Real Gross Domestic Product?
This theory suggests inflation is driven by rising wages.
What is the Wage-Price Theory of Inflation?
This type of monetary policy is used to reduce the money supply.
What is restrictive monetary policy?
This economic theory focuses on increasing demand to drive economic growth.
What is demand-side economic theory?
This is the process of increasing international integration and interdependence.
What is globalization?
This economic concept refers to a rise in the general price level of goods and services.
What is inflation?
These are interest rates charged by central banks to commercial banks.
What are discount rates?
This effect describes how increased spending can lead to a larger increase in total economic output.
What is the multiplier effect?
This economic theory focuses on increasing supply to drive economic growth.
What is supply-side economic theory?
This political philosophy favors free markets and limited government intervention.
What is neo-liberalism?
This theory states that inflation is always due to an increase in the money supply.
What is the Quantity Theory of Inflation?
This happens to the money supply when the discount rate is lowered.
What is an increase in the money supply?
This occurs when a country exports more than it imports.
What is a trade surplus?
This economist is known for his work on monetarism.
Who is Milton Friedman?
This type of economy is based on knowledge, information, and technology.
What is the knowledge economy?
This theory explains inflation as occurring when demand for goods exceeds supply.
What is the Demand-Pull Theory of Inflation?
This is the term for government regulation of the money supply and interest rates.
What is monetary policy?
This is the ability to produce more of a good than another country.
What is absolute advantage?
This political movement advocates traditional values and free-market economics.
What is neo-conservatism?
This is the practice of hiring outside firms to perform business tasks.
What is outsourcing?