Unit 3: Macroeconomics Review

The value of all goods and services produced within one year

• Real GDP

• Price level

• Aggregate demand

• Aggregate supply

Total output for the economy at full employment

• Potential output (Yp)

• Real GDP (rGDP)

• Price level (PL)

• Consumer price index (CPI)

When aggregate supply equals aggregate demand

• Macroeconomic equilibrium

• Demand-pull inflation

• Cost-push inflation

• FIscal policy

Which of the following components are part of aggregate demand? SELECT 4.

• Consumption (household demand)

• Investments (business demand)

• Government spending (government demand)

• Net exports (foreign demand)

• Health and education (public sector demand)

Unemployment caused by workers changing jobs

• Frictional unemployment

• Structural unemployment

• Seasonal unemployment

• Cyclical unemployment

Unemployment caused by a fundamental change in the economy

• Structural unemployment

• Frictional unemployment

• Seasonal unemployment

• Cyclical unemployemnt

Identify the type of unemployment: A lifeguard loses their job during the winter

• Structural unemployment

• Frictional unemployment

• Seasonal unemployment

• Cyclical unemployemnt

Identify the type of unemployment: A worker loses their job during the pandemic

• Structural unemployment

• Frictional unemployment

• Seasonal unemployment

• Cyclical unemployemnt

Identify the type of unemployment: A worker loses their job to automation

• Structural unemployment

• Frictional unemployment

• Seasonal unemployment

• Cyclical unemployemnt

A rise in the general level of prices

• Inflation

• Real GDP (rGDP)

• Potential output (Yp)

• Price level (PL)