GDP
What GDP Stands for
What is Gross Domestic Product
The number used to track the change of price for a good over time.
What is the CPI (Consumer Price Index)
Every member of a country that is working or actively looking for a job
What is the Labor Force
The term used to explain the Interdependence of Countries Economies
What is Globalization
The Highest Point that an economy reaches in the Business Cycle
What is the Peak
The total GDP that does not account for Inflation
What is Nominal GDP
Shortage of a product leads to Inflation in its price
What is Demand-Pull Inflation
What is Frictional Unemployment
The two terms to describe products leaving a country, and products entering a country
When an Economy enters a period of decline
What is a Recession
The total GDP that accounts for Inflation
What is Real GDP
Products become more expensive to make leading to an inflation of the price
What is Cost-Push Inflation
Unemployment that is caused by a Recession
What is Cyclical Unemployment
When a country has more imports than exports
What is a Trade Deficit
When an Economy Reaches a low point in the Business Cycle
What is a trough
The 4 Components of GDP
What is Consumption, Investment, Government Spending, and Net Exports
Too much currency is circulating in the Economy leading to a loss in its value
What is Monetary Inflation
Unemployment that occurs when a workers skills no longer match the available jobs
What is Structural Unemployment
A country takes a stance to incentivize Domestic Production
What is Protectionism
When an economy starts to recover from a low point
What is Expansionary
Goods that will not be sold again as part of another product. Example: A Cake
What is Final Goods
A decrease in this leads to higher Inflation
What is Unemployment
The type of Relationship that exists between Unemployment and GDP
What is an Inverse Relationship
The ability of countries to trade without penalty
What is Free Trade
The Unit of measurement tracked in the Business Cycle
What is GDP