Topic 2.1

22問 • 1年前

問題一覧

The study of economics divides its focus into several branches, one of which is ______________. The _____________ definition is the study of how the large-scale economy behaves.

macroeconomics, macroeconomics

It includes all the factors or variables that impact the market, including gross domestic product, inflation, economic growth, and figures.

macroeconomic

_______________ analyses each of these components and how they influence one another.

macroeconomics

Government entities use _____________ theory when forming monetary and fiscal policy.

macroeconomics

__________ entities use macroeconomic theory when forming monetary and fiscal policy.

Government

Government entities use macroeconomic theory when forming _____________ and _____________.

monetary, fiscal policy

Yet this is useful not only for governments and banks, but also for ________ businesses who must understand their own place within the wider market. __________ can also use the theories contained in macroeconomics when planning their next move, by investigating how the market behaves.

small, investors

This field of study is concerned with policies that impact the economy as a _______. As you can imagine, this makes it a rather broad field. However, there are ______ primary macroeconomic objectives.

whole, four

However, there are four primary macroeconomic objectives. 1. 2. 3. 4.

Low Unemployment, Sustainable Economic Growth, Price Stability, Balance of Payment

We’ve touched on several macroeconomic variables above through ________ objectives. These are used to measure the economy’s current state and forecast where it’s going, identifying potential risks along the way. Here are some of the most important macroeconomic variables to monitor:

wider

_______________ describes the overall economic value of the goods and services produced by a country.

Gross Domestic Product

_______ measures the monetary value of final goods and services—that is, those that are bought by the final user—produced in a country in a given period of time (say a quarter or a year).

GDP

_____ counts all of the output generated _________ the borders of a country.

GDP, within

_______ is composed of goods and services produced for sale in the market and also includes some nonmarket production, such as defense or education services provided by the ________________.

GDP, government

______ all productive activity is included in GDP. For example, unpaid work (such as that performed in the home or by volunteers) and black-market activities are _____ included because they are ___________ to measure and value accurately.

not, not, difficult

That means, for example, that a baker who produces a loaf of bread for a customer would contribute to GDP, but would _____ contribute to GDP if he baked the same loaf for his family (although the ingredients he purchased would be counted).

not

Moreover, “gross” domestic product takes ____ account of the “wear and tear” on the machinery, buildings, and so on (the so-called capital stock) that are used in producing the output. If this depletion of the capital stock, called ____________, is ____________ from ______ we get net domestic product.

no, depreciation, subtracted, GDP

Here are some of the most important macroeconomic variables to monitor:

A. GDP, B. Unemployment Rates, C. Inflation Rates, D. Consumption, E. Savings, F. Investment

Theoretically, GDP can be viewed in _______ different ways:

three

The _________________ sums the “value-added” at each stage of production, where value-added is defined as total sales _____ the value of intermediate inputs into the production process. For example, flour would be an intermediate input and bread the final product; or an architect’s services would be an intermediate input and the building the final product.

production approach, less

The ________________, _____ up the value of purchases made by final users—for example, the consumption of food, televisions, and medical services by households; the investments in machinery by companies; and the purchases of goods and services by the government and foreigners.

expenditure approach, adds

The ____________, _______ the incomes generated by production—for example, the compensation employees receive and the operating surplus of companies (roughly sales less costs).

income approach, sums

Topic 1

Mikyii · 67問 · 1年前

Topic 1