Economic Terms for Unit 4 topic 2

Question 1

The government has two many levers to control the economy these are ____ and ______ policy

Answer 1

Monetary and Fiscal Policy

Question 2

Monetary policy is a ______ side policy.

Answer 2

Demand

Question 3

What is privatisation?

Answer 3

Privatisation occurs when a government-owned business, operation, or property becomes owned by a private, nongovernment party.

Question 4

Privatisation and/or deregulation is a ______ side policy.

Answer 4

supply

Question 5

_____ indicators provide economists with data regarding changes in economic activity that are actually occurring at the time.

Answer 5

Coincident

Question 6

Investment in education or training is a ______ side policy.

Answer 6

Supply

Question 7

Fiscal policy is a ______ side policy.

Answer 7

Demand

Question 8

Devaluation (the reduction in a currency) is a _______ side policy.

Answer 8

Demand

Question 9

What is full-employment?

Answer 9

Full employment is an economic situation in which all available labor resources are being used in the most efficient way possible.

Question 10

Quantitative Easing is a ______ side policy.

Answer 10

Demand

is introduction of new money into the money supply by a central bank

Question 11

Low and stable inflation is generally at a rate between _ & _%?

Answer 11

2 to 3%

Question 12

______indicators provide economists with information regarding changes in general economic activity in advance of it actually occurring in the business cycle.

Answer 12

Leading

Question 13

Reduced power of trade unions is a ______ side policy.

Answer 13

Supply

Question 14

Full employment is generally at a rate between _ & _%?

Answer 14

4.5 to 5%

Question 15

Reduce tax rates is a ______ side policy.

Answer 15

Supply

Question 16

______ indicators include the CPI, unemployment and investment expenditure.

Answer 16

Lagging