| A | B |
|---|
| Gross Domestic Product (GDP) | total value of the goods and services produced in a country in a given year |
| Standard of Living | Level of material comfort as measured by goods and services that are available |
| Inflation | general increase in the price of goods and services |
| Deflation | general decrease in the price of goods and services |
| Unemployment rate | the number of people who are able and willing to work but cannot find work in a given period |
| Budget deficit | When the government spends more on programs than it collects in taxes |
| Budget surplus | When a government's revenue exceeds its expenditures in a one-year period |
| National debt | The total amount of money a government owes |
| Business Cycle | The rise and fall of economic activity over time |
| Prosperity | a peak of economic activity |
| Recession | economic activity slows down, produce less, and unemployment increases |
| Depression | a deep recession that affects the entire economy and lasts for several years |
| Recovery | A rise in business activity after a recession or depression |
