Economic Trends

Label the parts of the business cycle.

a

b

c

d

e

Expansion

a decline in the economy

Peak

Trough

Recession

1. If the number of jobs available decreases,   what may happen to the poverty rate?

1. If your salary remains the same, and there is a dramatic increase in inflation,

2. how is your buying power affected?

1. If the GDP declines, what changes will you see in consumer behavior?

1. What happens to unemployment during a recession? 

Match the following

• base year

• measurements of any specific aspects of the economy

• business cycle

• when economic activity is at the lowest point in the business cycle

• Producer Price Index

• term given to the periodic ups and downs in a nation's economic activity

• economic indicators

• used as a point of comparison for other time periods in a series of statistics

• trough

• measures the prices that producers charge their major customers, usually meaning wholesalers or large retailers