Econ 165 Ch 4 Vocab

  1. Macroeconomics
    The study of the operation of the economy as a whole
  2. Employment Act of 1946
    Legislation giving the federal government the right and responsibility to provide an environment for the achievement of full employment, full production, and stable prices.
  3. Unemployment
    A resource available for production is not being used
  4. Frictional Unemployment
    Occurs when people are voluntarily out of work for a short period of time while searching for a job
  5. Full Employment
    Occurs when only those voluntarily out of work are unemployed, or the unemployment rate includes only frictional unemployment
  6. Cyclical Unemployment
    Involuntary unemployment that results from a downswing in a business cycle, or a recession
  7. Structural Unemployment
    Involuntarily unemployment that results when a worker's job is no longer part of the production structure of the economy
  8. Labor Force
    All persons 16 years of age and older who are working or actively seeking work
  9. Participation Rate
    The percentage of some specified group that is in the labor force
  10. Unemployment Rate
    The percentage of the labor force that is unemployed and actively seeking work
  11. Discouraged Workers
    Persons who drop out of the labor force because they have been unsuccessful for a long period of time in finding job
  12. Underemployment
    A resource is not used to its fullest productive capability
  13. Natural Risk of Unemployment
    The unemployment rate that inculdes the frictionally and structurally unemployed; occurs when cyclical unemployment is eliminated
  14. Inflation
    An increase in the general level of prices
  15. Hyperinflation
    Extremely rapid increases in the general level of prices
Card Set
Econ 165 Ch 4 Vocab
Econ 165