Macro Quiz 3 Flashcards
intermediate goods and services
goods and services, bought from one firm by another firm, that are inputs for production of final goods and services
Gross domestic product (GDP)
the total value of all final goods and services produced in the economy during a given period, usually a year
Aggregate spending
the total spending on domestically produced final goods and services; the sum of consumer spending (C), investment spending (I), government purchases of goods and services (G), and exports minus imports (X-M)
Value added
(of a producer) the value of a producer’s sales minus the value of input purchases
Net exports
the difference between the value of exports and the value of imports. A positive value for net exports indicates that a country is a net exporter of goods and services; a negative value indicates that a country is a net importer of goods and services
GDP per capita
GDP divided by the size of the population; equivalent to the average GDP per person
Real GDP
the total value of all final goods and services produced in the economy during a given year, calculated using the prices of a selected base year
Nominal GDP
the value of all final goods and services produced in the economy during a given year, calculated using the prices current in the year in which the output is produced
Job search
when workers spend time looking for employment
Frictional unemployment
unemployment due to time workings spend in job search
Unemployed
people who are actively looking for work but are not currently emplyoed
Unemployed
people who are actively looking for work but are not currently employed
Labor force participation
the percentage of the population age 16 or older that is in the labor force
Unemployment rate
the percentage of the total number of people in the labor force who are unemployed, calculated as unemployment/(unemployment+employment)
Marginally attached workers
workers who would like to be employed and have looked for a job in the recent past but are not currently working for work
