Unit 4 Macroeconomics - Vocabulary

Front

legislation, passed by Congress and signed into law by the President, changing levels of taxation and/or government spending to stabilize the economy

Back

Fiscal policy

Front

the upward movement of a business cycle

Back

expansion

Front

unemployed because employers need their type of human capital during only one part of the year

Back

Seasonal unemployment

Front

unemployed because of a lack the skills for the job

Back

Structural unemployment

Front

unemployed because in between jobs or looking for a better job

Back

Frictional unemployment

Front

things are moving in the right direction, new businesses opening, more product being produced

Back

Economic growth

Front

decline in GDP for 2 or more quarters

Back

Recession

Front

Federal Reserve’s actions, as a central bank, to achieve mandated macroeconomic goals

Back

Monetary policy

Front

downward path, slope, of a business cycle

Back

Contraction

Front

interest rate the Federal Reserve sets for banks to loan other banks money over night

Back

Discount Rate / Federal Funds Rate