Term
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Definition
| the quantity of goods and services produced from each unit of labor input |
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Term
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Definition
| the stock of equipment and structures that are used to produce goods and services |
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Term
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Definition
| knowledge and skills that workers acquire throughout education, training, and experience |
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Term
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Definition
| the inputs into the production of goods and services that are provided by nature such as land, rivers, and mineral deposits |
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Term
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Definition
| society's understanding of the best ways to produce goods and services |
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Term
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Definition
| the property whereby the benefit from an extra unit of an input declines as the quantity of the input increase |
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Term
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Definition
| the property whereby countries that start of poor tend to grow more rapidly than countries that start off rich |
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Term
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Definition
| Stretching natural resources, Diluting the capital stock (K/L or H/L), Promoting technological progress |
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Term
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Definition
| the group of institutions in the economy that help to match one person's saving with another person's investment |
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Term
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Definition
| financial institutions through which savers can directly provide funds to borrowers |
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Term
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Definition
| a certificate of indeptedness |
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Term
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Definition
| a claim to partial ownership in a firm |
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Term
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Definition
| financial institutions through which savers can indirectly provide funds to borrowers |
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Term
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Definition
| an institution that sells shares to the public and uses the proceeds to buy a portfolio of stocks and bonds |
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Term
| determinants of productivity |
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Definition
| technology, natural resources, human capital, capital stock, and physical stock |
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Term
| diminishing returns to capital |
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Definition
| growth from investment eventually slows down and poor countries may "catch up" to rich ones |
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Term
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Definition
| Portion of households' income that is not used for consumption or paying taxes (Y-T-C) |
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Term
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Definition
| Tax revenue less government spending (T-G) |
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Term
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Definition
| Private Saving + Public Savings ((Y-T-C)+(T-G) or Y-C-G) |
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Term
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Definition
| always equals National Savings |
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Term
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Definition
| investment in a closed economy system |
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Term
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Definition
| excess of tax revenue over government spending (T-G) |
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Term
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Definition
| Shortfall of tax revenue from government spending (G-T) |
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Term
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Definition
| a decrease in investment that results from government borrowing |
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Term
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Definition
| the market in which those who want to save supply funds and those who want to borrow to invest demand funds |
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Term
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Definition
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Term
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Definition
| investors; negative slope |
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Term
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Definition
| national saving and supply of loanable funds |
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Term
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Definition
| supply curve moves to the right |
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Term
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Definition
| 95%; debt to GDP is useful measure of the governments indebtedness |
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Term
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Definition
| the total number of workers, including both the employed and the unemployed (Number of employed +number of unemployed) |
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Term
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Definition
the percentage of the labor force that is unemployed
(Number unemployed/labor force x 100) |
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Term
| Labor-Force Participation Rate |
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Definition
| the percentage of the adult population that is in the labor force (Labor force/ Adult population x 100) |
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Term
| natural rate of unemployment |
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Definition
| the normal rate of unemployment around which the unemployment rate fluctuates |
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Term
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Definition
| the deviation of unemployment from its natural rate |
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Term
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Definition
| individuals who would like to work but have given up looking for a job |
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Term
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Definition
| reflects trends in economy; US is about 5% |
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Term
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Definition
| worker searches for a job for their particular skill set |
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Term
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Definition
| fewer jobs than people; usually long term |
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Term
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Definition
| may exceed equilibrium wage; Small cause of Structural unemployment |
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Term
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Definition
| exert their market power to negotiatehigher wages for workers. Causes structural unemployment |
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Term
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Definition
| Cause of structural unemployment; |
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Term
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Definition
a govt program that partially protects workers’
incomes when they become unemployed |
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