definitions

Question 1

Economic Growth

Answer 1

An increase in real GDP over time, showing a rise in the output of goods and services

Question 2

Real GDP

Answer 2

The total value of goods and services produced in an economy adjusted for inflation

Question 3

Nominal GDP

Answer 3

The total value of goods and services produced in an economy unadjusted for inflation

Question 4

Inflation

Answer 4

A sustained rise in the general price level over time

Question 5

Deflation

Answer 5

A sustained fall in the general price level

Question 6

Disinflation

Answer 6

A fall in the rate of inflation (prices still rising, but more slowly)

Question 7

Consumer Price Index (CPI)

Answer 7

A measure of inflation based on the average change in prices of a representative basket of goods and services

Question 8

Unemployment

Answer 8

The number of people willing and able to work who are actively seeking work but cannot find a job

Question 9

Labour Force

Answer 9

The total number of people who are employed or actively seeking employment

Question 10

Claimant Count

Answer 10

A measure of unemployment based on the number of people claiming Jobseeker’s Allowance or Universal Credit

Question 11

Employment Rate

Answer 11

The percentage of the working-age population currently in employment

Question 12

Productivity

Answer 12

Output per unit of input (e.g. output per worker or per hour worked)