Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
17 Cards in this Set
- Front
- Back
|
Business cycle
|
Alternating periods of economic growth and contraction, which can bemeasured by changes in real GDP
|
|
|
Peak
|
The phase of the business cycle in which real GDP reaches its maximum after rising during a recovery
|
|
|
Recession
|
A downturn in th ebusiness cycle during which real GDP declines; also called a contraction
|
|
|
Trough
|
The phase of the business cycel in which real GDP reaches its minimum after falling during recession
|
|
|
Recovery
|
An upturn in the business cycel during which real GDP rises; also called an expansion
|
|
|
Economic Growth
|
An expansion in national output measured by the annual percentage increase in a nation's real GDP
|
|
|
Leading indicators
|
Variables that change before real GDP changes
|
|
|
Coincident indicators
|
Variables that changeat the same time that real GDP changes
|
|
|
Lagging indicators
|
Variables that change after real GDP changes
|
|
|
Unemploymetn rate
|
The percentage of people in the labor force who are without jobs and are actively seeking jobs
|
|
|
Civilian Labor Force
|
The number of people16 years of age and older who are employed or who are actively seeking a job, excluding members of the armed forces, homemakers, discouraged workers, and other persons not in the labor force.
|
|
|
Discouraged worker
|
A person who wants to work but has given up searching for work becuase he or she believes there will be no job offers.
|
|
|
Frictional unemployment
|
Unemployment caused by the normal search time required bu workers with marketable skills who are changing jobs, initially entering the labor force, reentering thelabor force, or seasonally unemployment
|
|
|
Structural unemployment
|
Unemployment caused by a mismatch of the skills of out-of-workers and the skills required for existing job opportunities
|
|
|
Cyclical Unemployment
|
Unemployment caused by the lack of jobs during a recession
|
|
|
Full employment
|
The situation in which an economy operates at an unemployment rate equal to the sum of the frictionaland structural unemployment rates.
|
|
|
GDP gap
|
The difference between full-employment real GDP and actual GDP.
|
