GDP
True or False
Nominal GDP is the best way to measure the economy
What is False?
1. Expansion 2. Peak 3. Contraction 4. Trough
What are the phases of a business cycle?
Three main types of Business Organizations
What is a sole proprietorship, partnership and corporation?
The monetary value of all the finished goods and services produced within a country's borders in a specific time period. It includes all of private and public consumption, government outlays, investments and exports less imports that occur within a defined territory.
What is GDP?
Another word for Consumer Spending
What is Consumption?
An American economist that developed a method for measuring the yearly economic growth of a nation.
Who is Simon Kuznets?
After an expansion, the high point or boom in the economy is called the ________.
What is the peak?
Two Business Organizations that have a limited life
What is Sole Proprietorship and a Partnership?
Government purchases include spending on goods and services by ________, _______, and _________governments, such as the Navy's purchase of a submarine.
What is local, state, and federal?
Goods used in in the production of final goods.
What are intermediate goods?
Goods that only last a short period of time, such as food and cloting
What are the nondurable goods?
Lowest point in the Business Cycle
What is the trough?
Business Organization that is viewed as a legal entity
What is a Corporation?
Another name for the Business Cycle?
What is the Boom Bust Cycle?
A recession that is especially long and severe.
What is Depression?
Factor that affects the Business Cycle
Set of ideas about a product, service, or brand. Example: iPhone
What are consumer expectation?
Company that has permission to use the supplies goods or services in a particular area in exchange for a sum of money
What is a Franchise?
In the Business Cycle, the peak is also called _________.
What is prosperity?
Transfer payments are like a ____ ______ because they might alter household income, but the do not reflect the economy's production.
What is a tax rebate?
Equation for GDP
What is Y = C + I + G + NX?
Factor that affects the Business Cycle
Unexpected event that dramatically changes an economy's direction
What are external shocks?
LLC stands for....
What is Limited Liability Corporation?
Department responsible for calculating GDP
What is the Department of Commerce?
The lowest point of a depression is called the _____
What is the trough?