Podcast
Questions and Answers
What is an economy?
What is an economy?
The way a nation makes choices about how to use its resources
What is capital?
What is capital?
Money needed to start a business
What is scarcity?
What is scarcity?
The difference between wants and needs on one hand and available resources on the other hand
What is the consumer price index?
What is the consumer price index?
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What is a command economy?
What is a command economy?
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What is gross domestic product (GDP)?
What is gross domestic product (GDP)?
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What is inflation?
What is inflation?
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What does infrastructure refer to?
What does infrastructure refer to?
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What is capitalism?
What is capitalism?
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What is employee productivity?
What is employee productivity?
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What is a business cycle?
What is a business cycle?
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What is privatization?
What is privatization?
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Study Notes
Key Economic Concepts
- Economy: The framework through which a nation allocates its resources and manages choices.
- Capital: Essential funds required for initiating a business venture.
- Scarcity: The disparity between human wants and needs against the backdrop of available resources.
Economic Indicators
- Consumer Price Index (CPI): Tracks price changes over time for around 400 specific goods and services, representing average urban household expenses.
- Gross Domestic Product (GDP): Reflects the total value of goods and services produced within the U.S. using domestic labor and property.
Economic Models
- Command Economy: A system where government authorities determine answers to fundamental economic queries: what to produce, how to produce, and for whom to produce.
- Capitalism: An economic structure based on private ownership of businesses and competitive markets.
Additional Economic Dynamics
- Inflation: The trend of increasing prices over time, affecting purchasing power.
- Infrastructure: A country's foundational physical development, including the quality of roads, ports, sanitation, and utilities.
Productivity and Economic Fluctuations
- Employee Productivity: Assessed by output per worker hour, indicating efficiency within the labor force.
- Business Cycle: The pattern of economic growth and contraction, characterized by alternating periods of expansion and recession.
Privatization
- Privatization: The transition of government-owned businesses into private ownership, aimed at enhancing efficiency and competitiveness.
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Description
Explore key terms in Political and Economic Analysis with this flashcard quiz. Understand essential concepts like 'economy', 'capital', and 'scarcity' that shape economic decisions. Test your knowledge and enhance your grasp of economic foundations.