Test 5 Flashcards
what is the quality of life for a country? (4)
inflation rate
unemployment rate
economic stability
life expectancy
what is quality of life for an area? (4)
average household income
class disparity
poverty rate
costs of goods and services
purchasing power
the value of a currency expressed in terms of the amount of goods or services that 1 unit of currency can buy
how do we improve an area’s SOL
productivity
investments
the amount of outputs produced from inputs
productivity
the action or process of investing money for profit or material result
investments
what investments are made to improve SOL
factories
equipment
education
how are productivity and investments related to SOL
productivity - can increase when investments are made
investments - can be made if productivity shows the potential to increase
How is quality of life associated with standard of living? (2 sentences)
the quality of life and standard of living are based on the needs and wants a person has. the ownership of these needs and wants should make one’s life easier and better.
What type of relationship does productivity and investments have? Why?
They have a direct relationship because as one increases so does the other
Pick an investment. Explain how that investment can improve an area’s SOL.
Investing in factories is a way to improve standard of living.
standard of living is defined as
quality of life based on the ownership of needs and wants that make life better
In economics how does productivity improve SOL?
when an increase in productivity occurs, this causes improvement in an area’s SOL.
