Chapter 7-9
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| 1328314143 | National Income and product accounts | keep track of the flows of money between different sectors of the economy | 1 | |
| 1328314144 | Government transfers | payments by the government to individuals for which no good or service is provided in return | 2 | |
| 1328314145 | Disposable income | income (after taxes) that is available to you for saving or spending | 3 | |
| 1328314146 | Government purchases of goods and services | Expenditures by government for goods and services that government consumes in providing public goods and for public capital that has a long lifetime; the expenditures of all governments in the economy for those final goods and services. | 4 | |
| 1328314147 | investment spending | spending on productive physical capital, such as machinery and construction of structures, and on changes to inventories | 5 | |
| 1328314148 | final goods and services | Goods and services produced for final use. | 6 | |
| 1328314149 | intermediate goods and services | goods and services bought from one firm by another firm to be used as inputs into the production of final goods and services | 7 | |
| 1328314150 | aggregate spending | the sum of consumer spending, investment spending, government purchases of goods and services, and exports minus imports, is the total spending on domestically produced final goods and services in the economy | 8 | |
| 1328322757 | price index | A measurement that shows how the average price of a standard group of goods changes over time | 9 | |
| 1328322758 | market basket | a hypothetical set of consumer purchases of goods and services | 10 | |
| 1328322759 | net exports | Exports minus imports | 11 | |
| 1328322760 | inventories | Goods that have been produced but not yet sold | 12 | |
| 1328322761 | aggregate output | The total quantity of goods and services produced in an economy in a given period. | 13 | |
| 1328322762 | real gdp | GDP adjusted for inflation | 14 | |
| 1328322763 | nominal gdp | GDP measured in current prices | 15 | |
| 1328322764 | chained dollars | the method of calculating changes in real GDP using the average between the growth rate calculated using an early base year and the growth rate calculated using a late base year | 16 | |
| 1328322765 | GDP per capita | The Gross Domestic product (GDP) divided by the total population of a country | 17 | |
| 1328322766 | Consumer price index | A measure of the overall cost of the goods and services bought by a typical consumer | 18 | |
| 1328322767 | Producer price index | A measure of the cost of a basket of goods and services bought by firms | 19 | |
| 1328322768 | gdp deflator | a measure of the price level calculated as the ratio of nominal GDP to real GDP times 100 | 20 | |
| 1328352533 | employment | Having a job or career and responsibilities that go with it | 21 | |
| 1328352534 | unemployment | Number of civilians at least 16 years who have been trying to find a job within the prior four weeks. | 22 | |
| 1328352535 | labor force | Employed + Unemployed | 23 | |
| 1328352536 | labor force participation rate | Labor Force / Population | 24 | |
| 1328352537 | unemployment rate | = (unemployment / (unemployment + employment)) * 100 | 25 | |
| 1328352538 | discouraged workers | Individuals who would like to work but have given up looking for a job | 26 | |
| 1328352539 | marginally attached workers | People who once held productive jobs but have given up looking for work. | 27 | |
| 1328352540 | frictional unemployment | A type of unemployment caused by workers voluntarily changing jobs and by temporary layoffs; unemployed workers between jobs. | 28 | |
| 1328352541 | structural unemployment | unemployment that results because the number of jobs available in some labor markets is insufficient to provide a job for everyone who wants one | 29 | |
| 1328352542 | cyclical unemployment | A type of unemployment caused by insufficient total spending (or by insufficient aggregate demand). | 30 | |
| 1328352543 | natural rate of unemployment | = frictional unemployment + structural unemployment | 31 | |
| 1328352544 | real wage | The wage rate divided by the price level | 32 | |
| 1328352545 | real income | income divided by the price level | 33 | |
| 1328352546 | shoe-leather costs | increased costs of transactions caused by inflation | 34 | |
| 1328352547 | menu cost | the costs of changing prices | 35 | |
| 1328352548 | unit of account cost | arise from the way inflation makes money a less reliable unit of measurement | 36 | |
| 1328352549 | nominal interest rate | is the interest rate expressed in dollar terms | 37 | |
| 1328352550 | real interest rate | is the nominal interest rate minus the rate of inflation | 38 | |
| 1328371072 | disinflation | A reduction in the rate of inflation | 39 | |
| 1328371073 | rule of 70 | 70/percentage growth rate=doubling time in years | 40 | |
| 1328371074 | labor productivity | the quantity of goods and services that can be produced by one worker or by one hour of work | 41 | |
| 1328371075 | physical capital | all human-made goods that are used to produce other goods and services; tools and buildings | 42 | |
| 1328371076 | human capital | the skills and knowledge gained by a worker through education and experience | 43 | |
| 1328371077 | aggregate production function | a hypothetical function that shows how productivity (real GDP per worker) depends on the quantities of physical capital per worker and human capital per worker as well as the state of technology | 44 | |
| 1328371078 | diminishing returns to physical capital | where each additional increase in inputs results in a smaller proportionate increase in the quantity produced | 45 | |
| 1328371079 | growth accounting | estimates the contribution of each major factor in the aggregate production function to economic growth | 46 | |
| 1328371080 | total factor productivety | the amount of output that can be achieved with a given amount of factor inputs | 47 | |
| 1328371081 | research and development (R&D) | spending to create and implement new technologies | 48 | |
| 1328371082 | infrastructure | Roads, power lines, ports, information, networks, and other underpinnings for economic activity | 49 | |
| 1328371083 | convergence hypothesis | international differences in real gdp per capita tend to narrow over time. | 50 |
