year 2 economics theme 2- economic growth

Question 1

gross domestic product

Answer 1

the total value of goods and services produced in an economy over a period of time

Question 2

economic growth

Answer 2

the rate of increase of actual real GDP (real- accounted for inflation) or an increase in the productive capacity of the economy

Question 3

gni

Answer 3

the gross domestic product + the net income earned abroad

Question 4

nominal values

Answer 4

the value of an economic variable based on current prices- prices today, which takes no account of changing prices over time

Question 5

real values

Answer 5

value of an economic variable taking account of changing prices over time

Question 6

gdp or gni per capita

Answer 6

gdp or the gni of a country / population

gdp/gni per person

Question 7

purchasing power parity

Answer 7

adjusting gdp or other variables to reflect how much the local currency actually buys you, or the purchasing power of the country

Question 8

real incomes

Answer 8

incomes after rising prices (inflation) is taken into account

Question 9

subjective wellbeing

Answer 9

how happy or content people feel, based on your own personal judgement

Question 10

gnh

Answer 10

an alternative to measuring gdp- it reflects the quality of life or non monetary (money based) measures of the well being of society