chapter 5 Flashcards
(13 cards)
labour force
unemployed + employed
unemployment rate
number of unemployed/labour force * 100
involutary part time rate
number of involutary part time workers / labour force * 100
labour force participation rate
labour force/working age population * 100
employment rate
employment / working age population * 100
CPI
cost of basket at current period prices / cost of basket at base period prices * 100
cost of basket at current period prices
find quantity by doing household income spent / cost of good in year given
answer * price in current period
cost of previous period prices
find quantity by doing household income spent / cost of good in year given
answer * price in previous period
real price
price of item in year asked for / CPI * 100
inflation rate
(CPI this year - CPI in previous year) / previous year CPI * 100
GDP deflator
nominal GDP / real GDP * 100
real wage rate
nominal wage rate / GDP deflator * 100
output gap
real GDP - nominal GDP
