The monetary value of all the finished goods and services produced within a country's border in a specific time period
What is GDP
100
Total quantity of all goods and services in the entire economy demanded by the people
What is Aggregate Demand
100
It include all of the changes in market prices that have occurred during the current year during inflation or deflation
What is nominal GDP
200
The most important thing that you give up because a scarcity and the choices you have to make
What is opportunity cost
200
Any point on a supply and demand curve that is not where the two curves meet is called this
What is disequilibrium
200
Rise of prices in goods and services
What is inflation
200
An increase in government expenditures and/or a decrease in taxes that causes the government's budget deficit to increase or its budget surplus to decrease
What is expansionary policy
200
It focuses on minimizing fluctuations in real GDP
What is discretionary stabilizer
300
The ability of an individual or group to make a specific product more efficiently than any other activity
What is comparative advantage
300
When a large increase in price causes a small increase in supply
What is inelastic demand
300
Sales of goods that were produced outside our domestic borders, sales of used goods, goods produced in the current year transfers made by the government.
What is included in GDP/excluded in GDP
300
Government expenditures decrease and taxes rises
What is contractionary
300
An economy in which production, investment prices, and incomes are determined centrally by a government
What is command economy
400
A policy or attitude of letting things take their own course, without interfering
What is Laissez Faire
400
When supply curve shifts to the right, what effect does it have on the equilibrium price
What is goes down
400
Real domestic output of producers based in the rise and fall of price level
What is Aggregate Supply
400
The policy that seeks to expand the money supply to encourage economic growth or combat inflation
What is the expansionary and contractionary policy
400
A change in price causes the quantity demanded to change.
What is change in price=quantity demanded
500
An economy in which decisions regarding investment, production, and distribution are based on supply and demand, and prices of goods and services
What is market economy
500
Decisions regarding investment, production, and distribution are based on supply and demand
What is Market economy
500
A measure of the value of economic value adjusted for price changes
What is real GDP
500
A banking system in which only a fraction of bank deposits are backed by actual cash-on-hand and are available for withdrawal
What is fractional reserve banking
500
There are three major types: cyclical, frictional and structural