A price index determined by measuring the price of a standard group of goods meant to represent the market basket of a typical urban consumer.

A general increase in prices across an economy.

The percentage of a nations labor force that is unemployed.

Type of unemployment that occurs as a result of harvest schedules, vacations, or when industries make seasonal shifts in their production schedules.

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

Unemployment that rises during economic downturns and falls when the economy improves.

Type of unemployment that occurs when people take time to find a job.

A period of macroeconomic expansion or growth, followed by a period of contraction, or decline.

The use of government spending and revenue collection to influence the economy.

The actions the Federal Reserve System takes to influence the level of real GDP and the rate of inflation in the economy.

An economics system in which economic decisions and the pricing of goods and services are guided by the interactions of a country's individual citizens and businesses.

Economic system that has some market based elements and some level of government involvement.

Macroeconomics approaches the study of economics from the viewpoints of

A country is said to be experiencing inflation when…

Which of the following is an macroeconomics statement?

Is this counted in the GDP of the US?

Cars made by a Japanese company in California.

Is this counted in the GDP of the US?

Cars made by a US company in South Korea.

in the consumption funciton, C= a+bY,

As income increases, consumption will _________

The value of multiplier depends on

Consumption Function is the Functional Relation between

What will be the value of Multiplier if MPC = 0.75 ?

In the United States, a healthy economy should have an unemployment rate of 4-6%.

The economy seems to be doing really well. Almost everyone has a job, which is good, but it's leading to inflation. If the Chair of the Federal Reserve wants to decrease the inflation rate, which policy should they choose?

The economy isn't doing very well due to a recession. Lots of people have been laid off and no one is buying anything because they don't have the money. If the Chair of the Federal Reserve wants to lower the unemployment rate, which policy should they choose?

Gross domestic product after adjustments for inflation is known as

A U.S. business buys new computers for its office workers from a U.S. computer manufacturer. The value of the transaction would be included in which category in the graph?

GDP = C + I + G + (X-M)

In this model, the “(X-M)” represents the

A statistical series used to measure price changes for a representative sample of frequently used household items is called the

The first step to take in measuring inflation is to

a.

In the table, what does the figure for the year 2000 say about the average price of goods and services in that year?

Which letter on the graph represents a contraction in the business cycle?

Which letter on the graph represents a trough in the business cycle?

A booming economy. Record-low unemployment. A blizzard of pink slips [a note stating that a person has been fired].

What’s wrong with this picture? The fact is, even in the best of times hundreds of thousands of people lose their jobs through no fault of their own.... You might not get any advance warning, so don’t be caught off guard. Have an up-to-date resume and networking system.... You want to be able to launch your job search soon after you get the bad news.

Source: Kiplinger’s Personal Finance Magazine, September 1998.

What type of unemployment does this passage describe?

For the year shown in the table, suppose that 130 million people were in the labor force. How many people were unemployed?

Suppose the population is 175 million people, the number of people unemployed is 20 million and the number of people employed is 130 million. Calculate the labour force participation rate