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Intro to Business Chapter 2 Review: Economic Activity

AB
unemployment ratethe portion of people in the labor force who are not working
productivitythe production output in relation to a unit of input
personal incomesalaries and wages as well as investment income and government payment to individuals
inflationan increase in the general level of prices
stockrepresents ownership of a corporation
bondsrepresents debt for an organization
prime raterate banks give for best business customers
discount raterate banks are charged to borrow funds from Federal Reserve banks
deflationa decrease in the general level of prices
consumer price indexthe number that compares prices in one year with some earlier base year
retail salesthe sales of durable and nondurable goods bought by the consumer
gross domestic productthe total dollar value of all final goods and services produced in a country during one year
mortgage ratethe amount individuals pay to borrow for the purchase of a new home
certificate of deposit raterate for time deposits at savings institutions


Kristin Drinen

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