Commerce Definitions Flashcards
1
Q
Definition of Market
A
Where parties exchange goods and services
2
Q
Definition of Real GDP
A
Stands for Real Gross Domestic Product (GDP)
It is the value of all goods and services produced by an economy in one year. It is adjusted for inflation
3
Q
Definition of Inflation
A
A rise in prices across the economy
4
Q
Definition of Recession
A
A contraction in economic activity
Causes reduced spending
Increased unemployment
5
Q
Definition of GDP
A
Gross Domestic Product
The total value of all goods and services produced by an economy in one year (not adjusted for inflation)
6
Q
Definition of Aggregate Demand
A
The total value of all spending on goods and services produced by a country over a time period
