Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

reviewer > macroeconomics > Flashcards

macroeconomics Flashcards

1
Q

social science concerned with the production distribution and consumption of goods and services

A

economics

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

like science, it is based on the formulation of theories and laws

A

economics as a science

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

it is said that “knowledge is science, action is art”

A

economics as a art

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

studies the small picture, the behavior of individuals and companies and the market for each type of product

A

micro economics

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

studies the function of the economy of a nation as a whole and economy wide phenomena such as inflation, price levels, rate of economic growth, national income, GDP and changes in employment

A

macroeconomics

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

Economists create models to
illustrate economic activity. Models that show the interaction between two groups of economic decision-makers
Shows the flow of money,goods
and services in an economy

A

circular flow

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

5 actors of the economy

A

household, firm, government, foreign, and financial

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

present all the individuals or families that make up the economy

A

household sector

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

all the business that produce goods and services in the economy

A

firm sector

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

government and all the public institution involved in the economy

A

government sector

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

all the actors outside the domestic economy

A

foreign sector

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

financial institutions

A

financial sector

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

two sector are

A

household, firm

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

three sectors are

A

household, firm, government

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

four sectors are

A

household, firm, government, foreign

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Shows the continuous
flow of goods and
payments between
firms and households

A

circular flow of output and income

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Top half of circular flow of output and income

A

factor market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

bottom half of circular flow of output and income

A

product market

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

demonstrate how money moves through society

A

circular flow of income

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

also known as leakage. it is the withdrawal of income from the flow

A

outflow

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

also known as injection. it is the introduction of income into the flow

A

inflow

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

refers how increase in one economic activity can cause an increase throughout many other related economic activities

A

multiplier effect

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

what are types of multiplier

A

keynesian, fiscal, employment, investment, trade, money

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
24
Q

Focuses exclusively on the impact of changes in government fiscal policy
(government spending or taxation) on the
overall economy

A

FISCAL
MULTIPLIER

25
Q

Also known as income or
expenditure multiplier. Assesses how changes in
spending by households,
businesses, or the government
ripple through the economy,
leading to subsequent rounds
of spending and income
generation

A

Keynesian Multiplier

26
Q

shows how creating or losing a
certain number of jobs in one
industry or sector can lead to thecreation or loss of additional jobs inother related industries or sectors.

A

Employment
multiplier

27
Q

refers to the impact that changes in a country export and import have on its economy

A

trade multiplier

28
Q

Shows how an initial deposit into the banking system can lead to a larger increase in the money supply as banks create new loans and deposits

A

MONEY MULTIPLIER

29
Q

Shows how an initial increase in
investment spending by businesses can lead to a larger increase in overall
economic activity

A

Investment
multiplier

30
Q

a table that shows that quantity demanded for a good or service at a different price level

A

demand schedule

31
Q

state the law of demand

A

When price increases, the quantity demanded decreases.

When price decreases, the quantity demanded increases, ceteris paribus

31
Q

a graphical representation of the relationship between the price of a good or services and the quantity for a given period of time

A

demand curve

32
Q

factors that influence market demand

A

Income, Consumer preferences, Buyer expectations, Price, Prices of related items

33
Q

an economic measurement of the total amount of demand for all finished goods and
services produced in an economy

A

Aggregate demand

34
Q

formula of Aggregate Demand

A

Aggregate Demand=C+I+G+Nx

35
Q

Whether interest rates are rising or falling will affect decisions made by
consumers and businesses.

A

Changes in Interest Rates

36
Q

As household wealth increases, aggregate demand usually increases as well.

A

Income and Wealth

37
Q

Consumers who feel that inflation will increase or prices will rise, tend to
make purchases now, which leads to rising aggregate demand.

A

Changes in Inflation Expectations

37
Q

If the value of the U.S. dollar falls (or rises), foreign goods will become
more (or less expensive).

A

Currency Exchange Rate Changes

38
Q

refers to how sensitive demand for a good is compared to
changes in other economic factors, such as price or income.

A

The elasticity of demand, or demand elasticity,

39
Q

is a chart that shows how much product a supplier will have to produce
to meet consumer demand at a specified price based on the supply curve.

A

Supply schedule

40
Q

is a graphical representation of the quantity of a product that a supplier is willing to offer
at any given price.

A

Supply curve

41
Q

If the elasticity quotient is greater than or equal to one, the demand is considered to be

A

elastic

42
Q

product is defined as one where a change in price does not significantly impact demand for that product.

A

inelastic

43
Q

As the price of a product increases, the quantity of product that suppliers offer will increase, and vice versa, ceteris paribus

A

law of supply

44
Q

Also known as total output. Total supply of goods and services produced within an economy at a given overall price in a given period.

A

AGGREGATE SUPPLY

45
Q

the amounts of labor, capital, land, and entrepreneurship available

A

resource quantity

46
Q

the productivity of the four
factors of production,

A

resource quality

46
Q

the prices of the inputs used in production.

A

resource price

46
Q

This is the price of labor, which works through the resource price determinant.

A

Wages

47
Q

Improvements in production techniques, often embodied in product inventions and
innovations, is a prime example of a resource quality determinant.

A

Technology

48
Q

These are the prices of key energy inputs, especially petroleum, that are essential to any modern industrialized economy.

A

Energy Prices

49
Q

This is the total quantity of capital used by the economy for production.

A

Capital Stock

50
Q

is an economic measurement that calculates how closely the price of a product or
service is related to the quantity supplied.

A

Price elasticity of supply

51
Q

where supply is infinite at any one price.

A

Perfectly elastic

52
Q

where only one quantity can be supplied.

A

Perfectly inelastic

53
Q

a relatively small change in price results in a proportionally larger change in the quantity supplied

A

elastic

54
Q

a change in price leads to a proportionally smaller change in the quantity supplied.

A

inelastic

55
Q

the percentage change in quantity supplied is exactly equal to the percentage change in price.

A

unitary elastic

reviewer (4 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions