| A | B |
|---|
| productivity | the amount of good. services an employee produces |
| standard of living | the style of living that a person can afford, according ti his/her income |
| market economy | a free enterprise system in which consumers respond to the economy as they wish---in their earning, spending, savings, and borrowing |
| gross domestic product | the total output of goods and services in a nation |
| prosperity | a period in which individuals/ businesses are financially successful and thriving |
| recession | an economic period of six months or more when growth is slowed down |
| demand | the amount of goods/ services available at any point in time |
| durable goods | items with lasting value, the purchase of which is considered a form of savings |
| savings rate | the amount of money people save in an economy |
| credit | borrowing; buying now, paying later |
| interest rate | percentage of amount borrowed to be added to the amount loaned and paid back |
| inflation | a period in which demand for goods/services is high and prices continue to rise |
