random macro Flashcards
1
Q
what is the genie coefficient
A
area between the line of perfect equality and the lorenz curve(divided by the totoal area)
2
Q
what is absolute poverty
A
income of < $2.15/day
3
Q
what is relative poverty
A
when the income earned < 60% of median income
4
Q
what are the scores for HDI
A
- > =0.8 = very high(development)
- 0.7-0.79 = high
- 0.55-0.69 = medium
- < 0.5 = low
5
Q
what is an output gap
A
the difference between an economy’s actual output and its maximum potential output
6
Q
what is a forward market
A
firms agree a fixed price, for a purchase of foreign currency in the future
7
Q
what is an example of why firms would use forward markets
A
the pund’s post-Brexit referendum depreciation
