Economics: Growths:& GDP

A set of vocabulary flashcards defining key economic indicators and concepts related to national growth and performance.

Gross Domestic Product (GDP)

The total market value of all final goods and services produced within a country's borders in a specific time period.

GDP per capital

A measure that results from dividing the Gross Domestic Product by the total population of a country.

Real GDP

An inflation-adjusted measure that reflects the value of all goods and services produced by an economy in a given year, expressed in base-year prices.

Nominal GDP

The value of all finished goods and services produced within a country's borders at current market prices, without adjustment for inflation.

Economic growth

An increase in the production of economic goods and services, compared from one period of time to another, typically measured by the percent rate of increase in real gross domestic product.

Economic development

The process by which the economic well-being and quality of life of a nation, region, or local community are improved according to targeted goals.

Living standards

The level of wealth, comfort, material goods, and necessities available to a certain socioeconomic class or geographic area.

Recession

A significant, widespread, and prolonged downturn in economic activity, often defined as two consecutive quarters of negative GDP growth.

GDP growth rate

The percentage increase or decrease of GDP from one period to another, used to measure how fast an economy is growing.

Inflation

The rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling.

Standard of living

The quality and quantity of goods and services available to people and the way these services and goods are distributed within a population.