| A | B |
|---|
| national income accounting | a system that collects macroeconomic statistics on production,income, investment and savings |
| gross domestic product | the total value of of all final goods and services produced in a particular ecomomy |
| intermediate goods | goods used in the production of final goods |
| durable goods | goods that last for a relatively long time, such as refrigerators, cars and DVD players |
| nondurable goods | goods that last a short period of time, such as food, light bulbs, and sneakers |
| nominal GDP | gross domestic product measured in current prices |
| real GDP | gross domestic product expressed in constant, or unchanging, prices |
| gross national product | the annual income earned by U.S. owned firms and U.S. residents |
| depreciation | the loss of the value of capital equipment that results from normal wear and tear or, a decrease in the value in a currency |
| price level | the average of all prices in the economy |
| aggregate supply | the total amount of goods and services in the economy available at all possible price levels |
| aggregate demand | the amount of goods and services in the economy that will be purchased at all possible price levels |
