Economics Terminology

4. The difference between how much a consumer is at most willing to pay for a good and how
5. equipment and factories.
9. Growth policies aiming at expansion of export revenues as the vehicle of economic growth;
10. relief aid usually as a result of a natural catastrophe or war. (2 words)
11. Goods that are jointly consumed, for example,coffee and sugar.
12. they actually pay. (2 words)
14. Income not spent on domestic goods and services.
19. When the average price level continues to rise but at a slower rate so that the rate of inflation is positive but lower.
22. Interest rates that have been adjusted for inflation.(3 words)
23. Where two or more countries share the same

1. contrasted to import substitution. (2 words)
2. The provision of small loans to poor
3. Aid given to alleviate short-term suffering, consisting of food aid, medical aid, and
6. Lower quality goods for which higher quality substitutes exist; if incomes rise, demand for the lower quality goods decreases. (2 words)
7. usually over a period of a year. (2 words)
8. and have a common central bank. (2 words)
9. who lack access to traditional banking services.
13. A decrease in the value of a currency in a fixed exchange rate system.
15. Technology that relies mostly on the relatively abundant factor an economy is endowed with (2 words)
16. quarters.
17. When government expenditures exceed
18. Occurs when real GDP falls for at least two
20. Spending by firms on capital goods such as
21. Refers to the repayment of principal and interest on the debt of a person, a firm or a country. (2 words)