Chapter 3: Economic Activity in a Changing World

Federal Reserve

The ________, informally called "the Fed, "is a government agency that guides the economy by regulating the amount of money in circulation, controlling interest rates, and controlling the amount of money loaned.

Individuals

________ have an enormous role on the market for goods and services.

1900s

The ________ saw the rapid movement of information, with the invention of the computer.

Deflation

________ is a general decrease in the price of goods and services.

unemployment

When ________ is low, production of goods and services is high, new businesses open, and there is prosperity.

GDP

________ is one of the most important indicators of the status of an economy.

Recovery

A(n) ________ is a rise in business activity after a recession or depression.

Inflation

________ is a general increase in the price of goods and services.

Prosperity

________ is a peak of economic activity.

Unemployment rate

The ________ measures the number of people who are able and willing to work but can not find work during a given period.

Depression

A(n) ________ is a deep recession that affects the entire economy and lasts for several years.

Standard of living

The ________ refers to the amount of goods and services people can buy with the money they have.