Chapter 2: Economic Indicators and Measurements

The total dollar value of all final goods and services produced in a country during one year

• GDP

• GDP per Capita

• Unemployment Rate

• Productivity

Refers to salaries and wages as well as investment income and government payments to individuals.

• GDP

• Personal Income

• GDP per Capita

• Productivity

Also called output per person.  It is calculated by dividing GDP by the total population.

• GDP

• GDP per Capita

• Unemployment Rate

• Personal Income

The portion of the people in the labor force who are not working.

• Unemployment Rate

• Productivity

• Unions

• Human Resources

The production output in relation to a unit of input, such as a worker.

• GDP

• GDP per Capita

• Productivity

• Unemployment Rate

The sales of durable and nondurable goods bought by consumers

• Productivity

• Retail Sales

• Sale of goods

• Sale of Sales

The movement of the economy from one condition to another and back again

• The unicycle

• The Business Cycle

• The Bicycle

• The Business Trend

 A period where most people who want to work are working, business produce goods and services in record numbers, wages are good, and the rate of GDP growth increases.

• Prosperity

• Recession

• Depression

• Recovery

demand begins to decrease

• Businesses lower production

• Unemployment begins to rise

• GDP growth slows for two or more quarters on the calendar year

• Prosperity

• Recession

• Depression

• Recovery

a phase marked by a prolonged period of high unemployment, weak consumer sales, and business failures

• GDP falls rapidly

• Prosperity

• Recession

• Depression

• Recovery