UNIT 2 Measuring Economic Performance EQs and Vocab C.h 12, 13, & 16) NAME:______
SSEMA1: The student will illustrate the means by which economic activity is measured.
SSEMA3: The student will explain how the government uses fiscal policy to promote price stability, full employment and economic growth. (Ch 12 & 13)
SSEMA2: The student will explain the role and functions of the Federal Reserve System. (Ch 16)
Provide your example in this column. (Listen in class!) / Provide a “Tweet” definition in this column. (<140 letters)Chapter 13:
1. Frictional Unemployment
2. Seasonal Unemployment
3. Structural Unemployment
4. Cyclical Unemployment
5. Full Employment
6. Underemployment
7. Discouraged Worker
8. Inflation
9. Purchasing Power
10. Price Index
11. Consumer Price Index
12. Market Basket
13. Inflation Rate
14. Core Inflation Rate
15. Hyperinflation
16. Wage-Price Spiral
Element: SSEMA1.b
Define… , unemployment.
Element: SSEMA1.c
Explain how economic growth, inflation and unemployment are calculated.
Ch 13 Sect 1:
9. What is “unemployment”?
10. 14. How is full employment measured?
11. 15. Why does full employment mean that every worker is NOT employed?
12. 16. If there is excessive inflation, what might the government do according to fiscal policy?
Element: SSEMA1.d
Identify structural, cyclical and frictional unemployment.
17. Why is unemployment bad for the economy?
13. What are the 5 causes of structural unemployment?
1.
2.
3.
4.
5.
14. How could you avoid being structurally unemployed?
15. What is cyclical unemployment?
16. Why is cyclical unemployment so challenging to improve?
17. What is frictional unemployment?
18. What is “underemployment”?
19. Bob is fired from his job. He looks for a job for 8 months and then gives up. Does Bob count as “unemployed”? EXPLAIN.
20. Explain, using an example, the wage price spiral.
Element: SSEMA1.b
Define…Consumer Price Index (CPI),… inflation.
21. What is CPI? What does CPI measure?
22. How are price indexes used to compare changes in prices over time?
23. Define inflation.
24. Identify the causes and effects of inflation.
Causes
Effects
25. Beyonce got a 3.5% raise last year. Interestingly enough inflation was 3.5% last year too. How much of a raise did Beyonce really get?