Flashcards in Quiz 3-5 Deck (108)
What is a IQ ?
What does GDP stand for ?
Gross Domestic Product
What is V.E.R ?
Voluntary Export Restraints
If a GDP falls for 2 consecutive quarters, its called a what ?
Escalating trade barriers
Name three durable goods in your home
Fridge, table, couch etc
Explain, in detail, what fracking is
It produces light crud, receiving oil from the ground with machines
M1 or M2 liquid assest
M1 or M2 demand account
M1 or M2 savings account
M1 or M2 CD
Name two reasons a country may devalue their currency
Increase exports and increase domestic spending
Name three things that might happen if a country devalues their currency
Growing debt payment
How far apart should a expenditure approach and income approach be in discovering GDP
Name the four parts of the business cycle
How does the government make more money ?
What are intermediate goods ?
Materials used to make the final product
What happens to job growth in a recession ?
Who's interest does the business have as a top priority ?
What happens to unemployment during a recession ?
What happens to a business in a recession ?
Stop buying products, business could go out of business
Tax on foreign goods
What are the three trade barriers we discussed in class ?
Import quotas: only so much product can come in
Voluntary export restrictions: only so much product can go out
Tariffs: a tax on foreign goods
What Economic System is the Parable of the Vineyard ?
What is a Trade Imbalance ?
When a nation puts out so much product, but brings a smaller amounts of imports (vice versa)
Why did Fracking become affordable ?
Fracking became affordable because gas price rose
In a free market economy you have periods of ________ and ____________
Name three reasons for Import Quotas
Protect U.S. manufacturing
When unemployment is below 4%-5% it is effectively considered what ?