FLVS Module 2 Vocab Flashcards
Circular flow
Shows the connection between markets, government, firms, and households in an economy
Factor market
Resource market where households sell resources and businesses buy them
Resource market
Factor market where households sell resources and businesses buy them
Financial market
The banking, stock, and bond markets through which private savings and foreign lending flow to become investment, government, and foreign borrowing
Product market
Buying and selling of finished goods and services
Gross Domestic Product (GDP)
The total dollar value of al final goods and services produced in a nation during one year
Gross National Product (GNP)
The final value of all goods and services produced by a nations citizens (no matter where they live) during some time period (usually one year)
Business Cycle
Portrays the highs and lows of the economy as people buy and sell goods and services
