Macro Kick off Terms Flash Cards

Gross Domestic Product

The total value of every good and service produced in a country for a year.

Per Person

believe that gov’t can and should solve problems.  Typically want higher progressive tax rates to fund programs for everyone.

believe gov’t creates more problems than it solves, so it should be smaller.  Typically want lower taxes to have smaller gov’t.

A general rise in ALL prices, which decreases purchasing power.

When the inflation rate is rising exponentially.

The ups and downs of the economy.

The Central bank of a country, in which they seek to lower inflation and manage prices.

Federal Reserve