6.2 GDP, Income, and Aggregate Demand

Used to create a finished good.

• Raw materials

• Intermediate goods

• Final products

• Consumer goods

Goods or services that have completed all stages of production by the end of a year.

• Intermediate goods and services

• Final goods and services

• Raw materials

• Consumer goods

Measures final goods and services produced by US citizens within the United States and other countries.

• Gross Domestic Product (GDP)

• Gross National Product (GNP)

• Net National Product (NNP)

• Personal Income (PI)

GDP measured in current prices.

• Real GDP

• Nominal GDP

• Adjusted GDP

• Inflation-Adjusted GDP

The total amount of goods and services in the economy.

• Aggregate Demand (AD)

• Aggregate Supply (AS)

• Gross Domestic Product (GDP)

• Net National Product (NNP)

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

• Gross Domestic Product (GDP)

• Net National Product (NNP)

• Gross National Income (GNI)

• Consumer Price Index (CPI)

All of the goods and services in the economy.

• Aggregate Demand (AD)

• Total Supply (TS)

• Market Equilibrium (ME)

• Consumer Price Index (CPI)

The average of all prices in the economy.

• Real GDP

• Nominal GDP

• Consumer Price Index

• Gross Domestic Product