Chapter 13 Vocab Flashcards
systematic changes in real GDP marked by alternating periods of expansion and contraction
Business Cycles
growth path the economy would follow if it were not interrupted by alternating periods of recession and recovery
Trend Line
explanation that prices rise because all sectors of the economy try to buy more goods and services than the economy can produce
Demand-Pull Theory
currency issued by towns, chambers of commerce and other civic bodies during the Great Depression
Depression Scrip
sustained rise in the general level of prices of goods and services
Inflation
state of the economy with large numbers of unemployed, declining real incomes, overcapacity in manufacturing plants, and in general economic hardship
Depression
explanation that rising input costs, especially energy and organized labor, drive up the cost of products for manufacturers and thus cause inflation
Cost-Push Theory
workers who have been unemployed for 27 weeks or more
Long-Term Unemployed
non-institutionalized part of the population, aged 16 and over, either working or looking for a job
Civilian Labor Forces
relatively low rate of inflation usually 1 to 3% annually
Creeping Inflation
persons or institutions to whom money is owed
Creditors
unemployment caused by workers changing jobs or waiting to go to new ones
Frictional Unemployment
decline in real GDP lasting at least 2 quarters or more
Recession
hiring outside firms to perform non-core operations to lower operating costs
Outsourcing
persons or institutions that owe money
Debtors
unemployment caused by technological developments or automation that make some workers’ skills obsolete
Technological Unemployment
sustained decrease in the general level of the prices of goods and services
Deflation
state of working for less than 1 hour per week for pay/profit in a non-family owned business while being available and having made an effort to find a job during the past month
Unemployed
abnormal inflation in excess of 500% per year, last stage of monetary collapse
Hyperinflation
unemployment caused by a fundamental change in the economy that reduces the demand for some workers
Structural Unemployment
Unemployment directly related to swings in the business cycle
Cyclical Unemployment
unemployment caused by annual changes in the weather or other conditions that prevail at certain times of the year
Seasonal Unemployment
