National Economic Performance Unit Test Review

Front

______________ is when there is an increase in the market value of goods and services produced by an economy over time

Back

Economic Growth

Front

______________ is when there is a sustained increase in the general price level of goods and services in an economy over a period of time.

Back

Inflation

Front

______________ is when People who do not have a job, have actively looked for work in the past four weeks, and are currently available for work. Also, people who were temporarily laid off and were waiting to be called back to that job are included.

Back

Unemployment

Front

______________ is when the total value of goods produced and services provided in a country during one year.

Back

Gross Domestic Product

Front

When an automobile factory emits pollution into a river is called ______________.

Back

A negative externality

Front

When a city builds a subway stop to a subdivision that has not been completed yet is called __________________.

Back

A positive externality

Front

What causes demand-pull inflation? Options: Decrease in consumer spending, Increase in production costs, Demand for goods and services surpasses their supply, Decrease in the money supply

Back

Demand for goods and services surpasses their supply

Front

What impact does inflation have on purchasing power?

Back

Erodes the purchasing power of money

Front

What role do banks play between savers and borrowers?

Back

Intermediation

Front

Which of the following services is NOT provided by financial institutions? Manufacturing goods, Electronic funds transfers, Credit card processing, Insurance

Back

Manufacturing goods