Chapter 2 Economic Activity Vocab. Review

Front

GDP stands for

Back

Gross Domestic Product

Front

The four components of GDP are consumer spending, business investment, government spending, and ____.

Back

Net exports

Front

The rate of change in prices calculated on a monthly or yearly basis.

Back

Inflation

Front

The market value of all final products produced in a country during a specific time period.

Back

Gross domestic product

Front

A general decline in prices throughout an economy.

Back

Deflation

Front

Stages of the Business Cycle

Back

Expansion, Recession, Trough, Peak

Front

Represents the cost of a loan and is expressed as a percent of the amount borrowed.

Back

Interest Rate

Front

A competitive advantage based on factors other than price.

Back

Nonprice Competition

Front

The activities involved in buying and selling goods on a large scale.

Back

Commerce

Front

The total money circulating at any one time in a country.

Back

Money supply