Inflation unemployment and economic growth

The total value of all final goods and services produced in a country in a given year.

• Gross Domestic Product

• Consumer Price Index

• Inflation

• Unemployment

A sustained general increase in prices across an economy.

• Disinflation

• Consumer Price Index

• Deflation

• Inflation

Type of unemployment that occurs when workers skills do not match those needed for the jobs available.

• Seasonal Unemployment

• Structural Unemployment

• Frictional Unemployment

• Cyclical Unemployment

Economic growth can be seen by an outward shift of

• a)     The Production Possibility Frontier
• b)     The Gross Domestic Barrier
• c)     The Marginal Consumption Frontier
• d)     The Minimum Efficient Scale

To boost economic growth the government is most likely to

• a)     Increase interest rates
• b)     Increase taxation rates
• c)     Provide incentives to invest
• d)     Provide incentives to save

In a boom

• a)     Unemployment is likely to fall
• b)     Prices are likely to fall
• c)     Demand is likely to fall
• d)     Imports are likely to fall

Inflation is most likely to occur during which phase of the business cycle

• Expansion

• Contraction

This type of inflation occurs when an increase in the in production costs are passed on to the consumer.

• Supply Inflation

• Cost Push Inflation

• Imported Inflation

• Demand Pull Inflation

What causes cost push inflation

• An increase in demand for goods and services
• An increase in supply
• A rise in production costs passed on to consumers
• A fall in the price of imports

When inflation is high the _______________of the dollar decreases

• cost value
• purchasing power
• importance
• validity