Macroeconomics: Crash Course Economics

The video introduces macroeconomics, focusing on its history, key goals, and measurements like GDP, unemployment, and inflation. It explains the business cycle and the government's role in economic stability. The video emphasizes understanding these concepts to make informed decisions.

What are the two main branches of economics?

• Growth and Recession

• Inflation and Deflation

• Supply and Demand

• Microeconomics and Macroeconomics

What does GDP stand for?

• Gross Domestic Product

• Gross Development Product

• General Domestic Production

• Global Domestic Product

Which of the following is NOT included in GDP calculations?

• Used car sales

• New car sales

• Government spending

• Consumer spending

What is the term for unemployment caused by people moving between jobs?

• Structural unemployment

• Cyclical unemployment

• Natural unemployment

• Frictional unemployment

What is the natural rate of unemployment in the United States typically?

• 0% to 2%

• 8% to 10%

• 4% to 6%

• 10% to 12%

What is the main goal of stable prices in an economy?

• To ensure prices always fall

• To keep prices the same forever

• To make sure prices always rise

• To avoid rampant inflation and excessive deflation

What is the term for the regular expansion and contraction of an economy?

• Business cycle

• Economic cycle

• Growth cycle

• Recession cycle

Which component of GDP is most significant in the US economy?

• Government spending

• Business investment

• Consumer spending

• Net exports

What is one potential drawback of government intervention in the economy?

• Increased debt

• Decreased employment

• Higher inflation

• Lower GDP

Why is it important to understand economic indicators?

• They predict stock market trends

• They are always accurate

• They shape our livelihood and future

• They determine tax rates