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OTB CH 2

TermDefinition
Deflation A decrease in the general price level.
Business Cycle The movement of an economy from one condition to another and back again.
Capital Project Spending by business or items such as land, buildings, and equipment.
GDP The total value of all final goods and services produced in a country in one year.
Budget Surplus Government spends less then it takes in.
Depression A phase marked by a long period of high unemployment, weak consumer sales, and business failures.
Bond Represents debt for an organization.
GDP per capita The GDP divided by the total population of a country.
Personal Income Salaries and wages as well as investment income and government payments to individuals.
Productivity Production output in relation to a unit of input, such as a worker.
Recovery The phase in which unemployment decreases, demand for goods and services increases, and GDP begins to rise.
Stock Represents ownership in a corporation.
Budget deficit Government spends more than it takes in.
Unemployment Rate The portion of people in the labor force who are not working.
Retail sales The sales of durable and non-durable goods bought by consumers.
Prosperity A period in which unemployment is low, businesses produce many goods and services, and wages are good.
Price Index A number that compares prices in one year with some earlier base year.
Recession A period in which demand, production, and GDP growth decrease and unemployment begins to rise.
National Debt The total amount owed by the federal government.
Created by: StudyManiac69
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