ECO2105 Principles of Macroeconomics

4. A country is said to achieve full employment when there is no _____ unemployment.
6. The ____ then spends this money on public services like health care, education, and infrastructure.
7. ____ examines the country as a whole and its achievement of the macroeconomics goals.
10. Economics studies how countries and different individuals choose to use the limited resources to maximize their ____.
11. ____ was instituted in 1990 as a way to assess development in terms of human wellbeing as well as economics. It’s a composite statistic that takes into account health, education, and income.
12. _____ value: refers to value of all final goods and services measured in current year’s prices(current dollars).
13. the part of the spending that is affected by disposable income.
15. ______ measures the COBG purchased by a typical household in a particular year as compared to the costs of the same basket of goods in the base year.

1. ____ is a condition where the rate of inflation in an economy is extremely high, typically exceeding 50% per month.
2. is the ratio of the change in consumption expenditures to the change in disposable income.
3. These are funds that come into the economy from outside the normal consumer-to-business-to-consumer circular flow.
5. In order to close the inflationary gap, the government has to use ______ fiscal policy.
8. the part of the spending that is not affected by disposable income.
9. ______ workers are workers who gave up the process of searching for jobs after trying many rounds to get a job.
14. NDP = GDP - _________