Unit 110 Flashcards
Regular fluctuation in the level of output of the economy, going from boom through recession and depression to recovery
Business cycle/ Trade cycle/ Economic Cycle
The peak of the business cycle, when the economy is growing fast and unemployment is low but when there could be problems with rising inflation
Boom
When a business reduces its level of stock held
Destocking
When the rate of economic growth begins to fall and unemployment begins to rise
Downturn/ Downswing/ Economic slowdown
The change in the productive potential of the economy; it is usually measured by changes in national income and in particular GDP
Economic Growth
The commonest way in which national income is measured
Gross Domestic Product (GDP)
The value of total income in the economy; it is also equal to the value of total spending and total production or output
National income
The bottom of the business cycle when economic growth is negative and there is high unemployment. Recession may also be used to describe a period of very slow economic growth
Recession/ Depression/ Slump
When the rate of economic growth begins to increase following a recession or depression and unemployment begins to fall
Recovery/ Upswing
