Question

Can you define a couple of economic terms for me.
(Please do this BRIEFLY)
Medal and fanning!

Answer 1

a. Gross Domestic Product (GDP)-


b. Economic growth-


c. Unemployment-


d. Consumer Price Index (CPI)-


e. Inflation-


f. Stagflation-


g. Aggregate supply-


h. Aggregate demand-

Answer 2

A) GDP is commonly used as an indicator of the economic health of a country, as well as to gauge a country's standard of living. Critics of using GDP as an economic measure say the statistic does not take into account the underground economy - transactions that, for whatever reason, are not reported to the government. Others say that GDP is not intended to gauge material well-being, but serves as a measure of a nation's productivity, which is unrelated.

Answer 3

B) Economic growth is usually associated with technological changes. An example is the large growth in the U.S. economy during the introduction of the Internet and the technology that it brought to U.S. industry as a whole. The growth of an economy is thought of not only as an increase in productive capacity but also as an improvement in the quality of life to the people of that economy.

Answer 4

C)Unemployment occurs when a person who is actively searching for employment is unable to find work. Unemployment is often used as a measure of the health of the economy. The most frequently cited measure of unemployment is the unemployment rate. This is the number of unemployed persons divided by the number of people in the labor force.

Answer 5

D)A measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food and medical care. The CPI is calculated by taking price changes for each item in the predetermined basket of goods and averaging them; the goods are weighted according to their importance. Changes in CPI are used to assess price changes associated with the cost of living.

Answer 6

E) nflation is defined as a sustained increase in the general level of prices for goods and services. It is measured as an annual percentage increase. As inflation rises, every dollar you own buys a smaller percentage of a good or service.

Answer 7

F) A condition of slow economic growth and relatively high unemployment - a time of stagnation - accompanied by a rise in prices, or inflation.

Answer 8

G) The total supply of goods and services produced within an economy at a given overall price level in a given time period. It is represented by the aggregate-supply curve, which describes the relationship between price levels and the quantity of output that firms are willing to provide. Normally, there is a positive relationship between aggregate supply and the price level. Rising prices are usually signals for businesses to expand production to meet a higher level of aggregate demand.

Answer 9

H) The total amount of goods and services demanded in the economy at a given overall price level and in a given time period. It is represented by the aggregate-demand curve, which describes the relationship between price levels and the quantity of output that firms are willing to provide. Normally there is a negative relationship between aggregate demand and the price level. Also known as "total spending".

Answer 10

Hey,
I'll make it simpler :)
-GDP or gross domestic product is total output-> that is the total value of final goods and services sold nation wide.
-Economic growth is when we have an increase in GDP that means more people can satisfy their needs and wants.
-Unemployment refers to those who are actively searching for work but cannot find it yet.
-CPI or consumer price index is based basket -> a sample of the thousands of consumer items householders buy. Price movements of these goods and services are recorded and attached a weight depending on the amount householders spend on it.
-stagnation-> not so sure :/
-Aggregate supply-> that's just output so GDP
->Aggregate demand- total planned (national) spending of goods and services, and is broken up into C + IP + G1 + G2 + (X-M). Where C is consumption, IP private investment G is gov. expenditure G1 is infrastructure + capital G2 is for day- to- day activities of the government, (X-M) is net exports.

Answer 11

you both deserve a medal....idk

Answer 12

Haha you already gave it :)