Part 4 Economic Growth

Question 1

Economic growth

Answer 1

Increase in gdp overtime

Question 2

Gross domestic product

Answer 2

The value of output produced within a country

Question 3

GDP per capita

Answer 3

GDP divided by population

Question 4

Employment

Answer 4

When people who are willing and able to work can find a job

Question 5

Unemployment

Answer 5

When people who are willing and able to work cannot find a job

Question 6

Claimant count

Answer 6

A measurement of unemployment using the number of people who claim Unemployment related benefits

Question 7

Level of unemployment

Answer 7

The total number of people who are in the workforce but don’t have a job

Question 8

Distribution of income

Answer 8

Thai describes how income is divided between individuals in a country

Question 9

Income

Answer 9

A flow of money over time often as a reward for use of a factor of production

Question 10

Price stability

Answer 10

When the general price level either stays the same or rises at a low rate

Question 11

Inflation

Answer 11

A sustained increase in the general price level

Question 12

Real

Answer 12

The value of an economic variable that takes account of changes in the general price level

Question 13

Nominal

Answer 13

The value of an economic variable based on current prices

Question 14

Consumer price index (cpi)

Answer 14

A measure of the general price level used to calculate inflation rate

Question 15

Government revenue

Answer 15

The amount of money the government receives

Question 16

Government spending

Answer 16

The total amount of money spent by the government in a given time period

Question 17

Direct tax

Answer 17

A tax on income and wealth

Question 18

Indirect tax

Answer 18

A tax on spending which is imposed on the produce but may then be passed on to consumers through and increase in price

Question 19

Balanced budget

Answer 19

Is when revenue is equal to government spending

Question 20

Budget surplus

Answer 20

Is when revenue is greater that government spending

Question 21

Budget deficit

Answer 21

Is when revenue is less than government spending