ECON MINI CHP12 RECAP

Gross domestic product is:

• the total value of goods/services produced in 5 years

• the total value of goods/services produced in 1 year

• the total demand and supply in the city

• nasty products produced in a country

We can determine how healthy an economy is by looking at. . .

• GDP

• unemployment rates

• how often the sun rises

• where the people work

Do we count stimulus checks in the GDP?

• no

• yes

The business cycle represents the ________ and ______ of an economy

• supply and demand

• ups and downs

• government and businesses

• growth and expansion

What is one impact of a global pandemic on the economy?

• decreased consumer confidence

• increased supply chains

• trade stability

• positive impact on the economy

Economic growth is achieved by. . .

• decreasing consumer spending

• increasing taxes

• reducing job opportunities

• increasing aggregate supply and demand

Economic expansions include. . .

• high unemployment

• high employment

• high consumption

• low consumer confidence

Economic contractions include. . .

• low consumption

• low consumer confidence

• low unemployment

• low employment

What happens when demand grows without a corresponding growth in supply?

• prices decrease

• prices increase

• unemployment rises

• investments increase

How could the government encourage supply-side growth?

• increasing public spending

• decreasing research and development

• reducing taxes

• privatizing public industries