Aca-Dec Economics terms 1

Question 1

the ratio of the money supply to the monetary base

Accepted Answer

Money Multiplier

Question 2

graph of relationship between amount of goods and services firms wish to supply and price level

Accepted Answer

Aggregate Supply curve

Question 3

unemployment that results from the mismatches between job seekers and the available jobs

Accepted Answer

Structural Unemployment

Question 4

a period between a peak and a trough in economic activity

Accepted Answer

Recession

Question 5

a sudden rush of depositors seeking to withdraw funds from the banking system

Accepted Answer

Bank run

Question 6

the production of goods and services

Accepted Answer

Nominal GDP

Question 7

the total value of assets used as a store of value

Accepted Answer

Wealth

Question 8

the additional revenue resulting from a small increase in the quantity produced

Accepted Answer

Marginal Revenue

Question 9

economic analysis to explain phenomena; predict what will happen under particular circumstances

Accepted Answer

Positive Economics

Question 10

the use of taxes and spending to influence aggregate demand and the level of economic activity

Accepted Answer

Fiscal Policy

Question 11

situation where the forces in a system are balanced so the situation is stable and unchanging

Accepted Answer

Equilibrium

Question 12

a good or service for which demand is positively related to the buyer’s income

Accepted Answer

Normal Good

Question 13

the fraction of deposit liabilities that banks hold to meet depositor withdrawals

Accepted Answer

Reserves

Question 14

the available resources are always less than our limitless desires

Accepted Answer

Scarcity

Question 15

estimate of national output, divided by the population

Accepted Answer

GDP per Capita

Questions 15