Economic Activity Ch2

Central bank regulation of money supply and interest rates.

• monopoly

• fiscal policy

• monetary policy

• commerce

• price fixing

Activities involved in buying and selling goods on a large scale.

• monopoly

• fiscal policy

• monetary policy

• commerce

• price fixing

All the people in a nation who are capable of working and want to work.

• gross domestic product

• inflation rate

• labor force

• business cycle

• recession

Alternating periods of expansion and contraction in an economy.

• gross domestic product

• inflation rate

• labor force

• business cycle

• recession

Rate of change in prices calculated on a monthly or yearly basis

• gross domestic product

• inflation rate

• labor force

• business cycle

• recession

Tax and spending decisions are made by the President and Congress.

• monopoly

• fiscal policy

• monetary policy

• commerce

• price fixing

Market structure with one business that has complete control of a market’s entire supply of goods and services.

• monopoly

• fiscal policy

• monetary policy

• commerce

• price fixing

A period of a significant decline in the total output, income, employment, and trade in an economy.

• gross domestic product

• inflation rate

• labor force

• business cycle

• recession

Occurs when two or more businesses in an industry agree to sell the same good or service at the same price.

• monopoly

• fiscal policy

• monetary policy

• commerce

• price fixing

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

• gross domestic product

• inflation rate

• labor force

• business cycle

• recession