Macroeconomics Flashcards
1
Q
What are changed to GPD used to measure?
A
economic growth
2
Q
what are the components of aggregate demand?
A
consumption, investment, government spending and net exports
3
Q
What are the components of aggregate supply?
A
consumption and saving, hence as = national income
4
Q
What is cyclical unemployment caused by?
A
economic down-turns such as recessions
5
Q
what is GDP per capita?
A
GDP/population
6
Q
What is structural unemployment?
A
unemployment caused by a mismatch of skills
7
Q
What is fiscal policy?
A
use of government spending and tax to influence economic conditions
