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$100. $100. $100. $100. $100. $200. $200. $200. $200. $200. $300. $300. $300. $300. $300. $400. $400. $400. $400. $400. $500. $500. $500. $500. $500. GDP. Business Cycles. Unemployment. Inflation. Misc. Business Cycles. GDP. Misc. Inflation. Unemployment. $100.

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Presentation Transcript
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$100

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Business Cycles

GDP

Misc.

Inflation

Unemployment

$100

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slide9

GDP - $100

What does GDP stand for?

slide10

GDP - 200

What is GDP?

slide11

GDP- $300

When the Department of Commerce analyzes production data, it faces several decisions concerning what should be included and excluded when calculating GDP.

Name 1 of these factors.

slide12

GDP- $400

The are 5 income measures included in the National Income and Product Accounts (NIPA).

Name 1 of these.

slide13

GDP- $500

The economy is made up of several different sectors.

Name 1 of these.

slide14

Business Cycles - $100

Definition: Large systematic ups and downs of real GDP.

What is the term?

slide15

Business Cycles - $200

Definition: Rise and fall of real GDP over time in a non-systematic manner.

What is the term?

slide16

Business Cycles - $300

There are a few phases associated with the business cycle.

Name 1.

slide17

Business Cycles - $400

Capital expenditures, inventory adjustments, innovation & imitation, monetary factors, and external shocks are all causes of what?

slide18

Business Cycles - $500

There are two ways to predict business cycles.

Name 1.

slide19

Unemployment - $100

What determines if a person is unemployed?

slide20

Unemployment- $200

How do you find the unemployment rate?

slide21

Unemployment- $300

True of False:

The unemployment rate does not have problems or limitations.

slide22

Unemployment- $400

There are several different types of unemployment.

Name 1.

slide23

Unemployment- $500

Full-employment is reached when the unemployment rate drops below what number?

slide24

Inflation - $100

What is inflation?

slide25

Inflation- $200

What is the difference between real GDP and current GDP?

slide26

Inflation- $300

There are three degrees of inflation.

Name 1.

slide27

Inflation- $400

There are many causes

of inflation.

Name 1.

slide28

Inflation- $500

There are several consequences of inflation.

Name 1.

slide29

Misc. - $100

The output-expenditure model shows aggregate demand by the consumer, investment, government, and foreign sectors.

What is the equation for this model?

slide30

Misc. -$200

A major economic event happened in October of 1929.

What was it?

slide31

Misc. -$300

What is one of the limitations of unemployment?

slide32

Misc. -$400

What is the equation to determine the inflation rate?

slide33

Misc. -$500

A deflation is a decrease in the general price level. There were two significant deflations in the 1900s:

One in the early 1920s,

One in the 1930s.

These deflations occurred after what two major historical events?

slide34

GDP - $100

Gross Domestic Product

slide35

GDP - $200

  • The dollar amount of all final goods and services produced within a country’s national borders
  • OR –
  • The single most important measure of the economy’s overall economic performance.
slide36

GDP - $300

-Intermediate Products

-Secondary Sales

-Nonmarket Transactions

-Underground Economy

slide37

GDP - $400

-GNP: Gross National Product

-NNP: Net National Product

-NI: National Income

-PI: Personal Income

-DI: Disposable (Personal) Income

slide38

GDP - $500

-Consumer Sector

-Investment (or Business) Sector

-Government Sector

-Foreign Sector

slide39

Business Cycles- $100

Business Cycle

slide40

Business Cycle - $200

Business Fluctuations

slide41

Business Cycle - $300

-Recession

-Expansion

-Depression

slide42

Business Cycle - $400

Business Cycles

slide43

Business Cycles - $500

-Econometric Model

-Index of Learning Indicators

slide44

Unemployment - $100

-Must be available for work

-Currently or recently seeking employment

-Work less than 1 hour a week for pay

slide46

Unemployment - $300

False

The unemployment rate

has many limitations.

slide47

Unemployment - $400

-Frictional Unemployment

-Structural Unemployment

-Cyclical Unemployment

-Seasonal Unemployment

-Technological Unemployment

slide49

Inflation - $100

A rise in the general price level.

slide50

Inflation - $200

-Current GDP is equivalent to GDP.

-Real GDP is when the distortions of inflation have been removed.

slide51

Inflation - $300

-Creeping Inflation: 1% to 3%

-Galloping Inflation: up to 300%

-Hyperinflation: 500% and up

slide52

Inflation - $400

-Demand-Pull Theory

-Federal Government Deficits

-Rising input costs (labor) raises production costs

-Increase in price of non-labor costs

-Self-perpetuating cycle

-Higher prices = higher wages

-Excessive monetary growth

slide53

Inflation - $500

-The dollar buys less

-Changes in people’s spending habits

-Tempts people to speculate heavily

-Alters the distribution of income

slide54

Misc. - $100

GDP = C + I + G + (F-S)

slide55

Misc. - $200

-The Great Depression

-Stock-Market Crash

-”Black Tuesday”

slide56

Misc. - $300

-Does not count people who are not looking for work

-People who work part-time, but not full-time are not considered to be unemployed

slide58

Misc. - $500

-Early 1920s: Post WWI

-1930s: During the Great Depression