In a business cycle, this represents the “long run trend of real GDP”
What is a straight line?
100
A common financial instution
What is a bank?
100
The value of the best alternative that was sacrificed
What is Opportunity cost?
100
A point to the left of the PPC signifies this
What is inefficiency?
200
The costs that the PPC typically explains
What are Marginal Costs?
200
In a business cycle, recovery means coming out of this
What is a recession?
200
The jewelry market is an example of this type of market
What is the Product market?
200
When a country can produce a good using fewer resources per unit of output than another country
What is absolute advantage?
200
One of the three factors that can cause the PPC to shift right
What is Trade/technology/new resources?
300
Another name for the PPC is
What is the Production Frontier?
300
In a business cycle, expansion comes after this period
What is contraction?
300
Trees are an example of this factor of production
What is Land?
300
The country with the absolute advantage of both goods if Mexico can produce 202 coffee and 116 broccoli, and Brazil can produce 120 broccoli and 205 coffee.
What is Brazil?
300
A country utilizing comparative advantage in trading can move in this direction on the PPC.
What is to the Right?
400
The maximum % of unemployment needed to satisfy the full employment requirement
What is 4%?
400
How long the downturn must last to be considered a recession in a business cycle
What is 6 months or more?
400
These flow from firms to the product market to households
What are Goods and services?
400
When a country can produce a good at a lower opportunity cost than another country
What is comparative advantage?
400
The two markets in the circular flow model
What is the factor and product market?
500
The three marginal factors in the PPC
What is Marginal Cost, Marginal Benefit, and Marginal Utility?
500
The four phases of a generalized business cycle
What is Peak, Contraction, Trough, and Expansion?
500
Revenue flows from __________ to ___________.
What is from product market to firms?
500
The country with the comparative advantage in producing broccoli if Mexico can make 8 coffees per 3 broccolis, and Brazil can make 5 coffees per 2 broccolis.
What is Brazil?
500
How long it usually takes for the business cycle to move from trough to trough