| A | B |
|---|
| Economic growth | refers to a steady increase in the production of goods and services in an economic system. |
| imports | One component of gross domestic product is the value of a country’s exports minus the value of THIS |
| more | The _________ goods and services produced, the healthier an economy is considered to be. |
| culture | While trying to understand the economic conditions and political environment of an emerging overseas market, it is absolutely necessary for a company to research the country’s THIS |
| one year | GDP measures a country’s economic output during THIS time period |
| yourself | GDP does not include the value of the work you do for ___________ |
| Intermediate goods | Items that would NOT counted when measuring GDP because they are not final goods |
| GDP per capita | Dividing GDP by the total population of a country |
| goods | If wages increase faster than gains in productivity, prices will rise because the cost of producing THESE increase |
| NO training | THIS would likely result in a DECREASE in worker productivity when getting new machinery |
| Prosperity | occurs at the peak of the business cycle |
| Depression | Characteristics of THIS stage of the business cycle include:a prolonged period of high unemployment, business failures, & GDP falls rapidly |
| two | If GDP growth slows for at least ____ quarter(s) in a calendar year, the economy is probably in a recession. |
| fixed | THIS general rise in prices is harmful to people living on THESE incomes. |
| prime | the interest rate banks charge their best business customers |
| capital projects | A small business purchasing new pickup trucks is an example of this type of spending |
| unemployment rate | The portion of people in the labor force who are not working but are looking for work |
| productivity | the production output in relation to a unit of input, such as a worker |
| personal income | refers to salaries and wages as well as investment income and government payments to individuals. |
| business cycle | The movement of the economy from prosperity to recession or depression and back again |
| recession | a period in the business cycle when demand begins to decrease, businesses lower production, and GDP growth slows for two or more quarters of the calendar year. |
| recovery | The phase in which unemployment begins to decrease, demand for goods and services increases, and GDP begins to rise again |
| price index | a number that compares the cost-of-living prices in one year with the prices in an earlier base year |
| inflation | an increase in the general level of prices |
| corporate | THIS bond rate is the cost of borrowing for large U.S. corporations |
| stock | represents ownership, or equity, in a corporation |
| debt | A bond represents ____________________ for an organization |
| budget surplus | When a government spends less than it takes in |
| emerging | THESE markets are nations where consumer incomes and buying power are increasing. |
| reduce | An ability to produce more goods and services makes it possible to _________ the number of hours in a workweek. |
