soc sci

Market Price

The amount a buyer pays for a product, reflecting its current valuation in the market based on supply and demand dynamics.

National Product

The total money value of goods and services produced by an economy over a specified period, serving as a critical indicator of economic performance.

Two Basic Approaches

The methodologies used to measure a country's national economic performance: the National Product Approach, focusing on overall output, and the National Income Approach, which assesses income generated from production.

Personal Consumption Expenditures (C)

The total value of household consumption, encompassing spending on various goods and services.

Durable Goods

Long-lasting consumer items such as furniture, cars, and appliances that are expected to provide utility over time.

Non-Durable Goods

Items with a short life span, including food, toiletries, and clothing, which are consumed quickly.

Services

Intangible economic activities that provide value, such as telephone, water, and electricity services.

Government Expenditures on Goods and Services (G)

The spending of the Philippine government, which represents the single largest expenditure component in the national economy.

Capital Formation (I)

Commonly referred to as investment, this term denotes the accumulation of physical capital, including infrastructure and equipment, necessary for production.

Net Export (X - M)

The difference between total merchandise exports and imports, representing the 'balance of trade' in an economy.

National Account

Comprehensive data sets that encompass national product and national income accounts, crucial for understanding economic performance.

Gross Domestic Expenditures (GDE)

The aggregate market value of all final products within a country, expressed as GDE = C + G + I.

Gross Domestic Product (GDP)

The total market value of all finished goods and services produced within a country, calculated as GDP = C + G + I + (X - M).

Gross National Product (GNP)

The overall national income account, reflecting the total economic output of a country's residents, including net factor income from abroad, expressed as GNP = GDP + Net Factor Abroad.

Net National Product

The measure of economic performance that accounts for total production while subtracting the depreciation allowance for capital goods over time.

Depreciation Allowance

Financial provision for the gradual decrease in value of capital goods due to wear and tear or obsolescence.

Indirect Taxes

Taxes levied on goods and services consumed, which are often passed on to consumers in the form of higher prices.

National Income

The total income earned by a nation's residents, which should equate with GNP as a measure of an economy's output.

Nominal GNP

The gross national product measured at current prices, without adjusting for inflation.

Real GNP

The gross national product adjusted for inflation to reflect the true growth in economic output over time.

Price Index

A numerical measure that indicates the average change in prices over time, reflecting inflation or deflation in the economy.

Externality

An indirect effect or consequence, often unintended, of an industrial or commercial activity, which can impact third parties not directly involved in the transaction.

Human Development Index

A composite measure used to evaluate a country's performance in terms of social and economic development, considering factors such as health, education, and income.

Real GDP per Capita

The average economic output produced per person in a country, adjusted for inflation, providing a per capita measure of economic prosperity.

Economic Growth

The desired macroeconomic objective characterized by an increase in a country's output of goods and services over time.

Frictional Unemployment

Temporary unemployment occurring when individuals are in the process of transitioning from one job to another in search of better opportunities.

Price Stability

A condition where the prices of goods and services in the economy remain relatively constant and do not fluctuate significantly over time.

Economic Stagnation

A state where economic growth matches population growth, resulting in no real improvement in living standards.

Economic Retrogression

A scenario where the rate of population growth outpaces economic growth, leading to declining living standards.

Economic Development

A long-term process that entails sustained improvements in economic activity and quality of life for citizens.

National Development

A holistic concept involving progress across all dimensions of society, including economic, social, and environmental aspects.

Primary Economic Factors

The fundamental resources required for production, including human resources, physical capital, natural resources, and technology.

Non-Economic Factors

Influences on economic performance that do not directly relate to economic metrics, such as peace and order, political stability, and geographical location.

NEDA (National Economic and Development Authority)

The Philippines' primary planning agency responsible for coordinating national development efforts.

NEDA Board

The governing body of NEDA, endowed with power and functions pertinent to national economic planning.

NEDA Secretariat

The administrative arm of NEDA responsible for macroeconomic forecasting and supporting the NEDA Board's functions.

Principle of Subsidiarity

The governance principle that advocates for lower levels of government to take precedence in decision-making, while higher levels should only intervene when necessary.

Decentralization

The strategy of distributing socio-economic opportunities beyond traditional urban centers to rural areas, promoting inclusive growth.

Indicative Planning

An economic strategy that encourages private sector participation in the state-led development process through guidance and support.

AmBisyon Natin 2040

A vision statement formulated in 2015 outlining the long-term aspirations of Filipinos for the socioeconomic and cultural development of the nation.

Filipinos Are Strongly Rooted

A cultural characteristic emphasizing the importance of family cohesion, with preferences for communal living and a focus on work-life balance.

Filipinos Are Comfortable

A societal goal where no individual lives in poverty, and all families have access to adequate housing and resources.

Filipinos Are Secure

The expectation that citizens will experience longevity and a comfortable lifestyle in retirement, supported by effective social systems.

Money

Any widely accepted medium of exchange that facilitates transactions in the market.

Barter System

An archaic method of trade where goods and services are exchanged directly for other goods and services without the use of money.

Credit Card Payment

A means of transacting that functions as a short-term loan, allowing consumers to purchase goods and services with borrowed funds repayable later.

Digital Wallet

An electronic payment system that enables users to make transactions online or at physical locations, provided there is sufficient cash loading.

Medium of Exchange

The role of money in facilitating trade by providing a universally accepted item for transactions.

Standard of Value

A measure that allows for the valuation of goods and services, assisting in determining their worth in trade.

Store of Value

The ability of money to maintain its value over time, enabling individuals to save and defer consumption.

Standard of Deferred Payment

The capacity of money to facilitate future transactions, allowing for repayments over time.

National Statistical Coordination Board

The organization responsible for defining and regulating the money supply and its components.

Demand Deposits

Bank accounts that allow depositors to withdraw funds on demand, such as checking and savings accounts.

Time Deposit

A bank account that earns interest at a specified rate, with funds deposited for a fixed term.

Fixed Deposits

A type of time deposit that typically offers a higher interest rate in exchange for keeping the funds locked in for a longer period.

Recurring Deposits

A special form of time deposit where a customer makes regular deposits, enabling savings over time with accrued interest.

Income

The monetary earnings of individuals or entities, which is directly proportional to consumption levels.

Interest Rate

The cost of borrowing money or the return on savings, which exhibits an inverse relationship with the demand for money.

Transactional Motive

The purpose for holding cash that facilitates immediate purchases of goods and services.

Precautionary Motive

The intent to retain cash reserves to cover unforeseen expenses or emergencies.

Speculative Motive

The choice to hold cash or liquid assets as a safeguard against future investment opportunities or losses.

Financial Institutions

Organizations comprising the monetary sector, responsible for facilitating savings, lending, and investment activities, including both banks and non-banks.

Banks

Entities that accept deposits from the public and utilize these funds to provide loans, forming the backbone of the financial system.

Universal Banks

Financial institutions that offer a broad range of services, including commercial and investment services under a single umbrella.

Commercial Banks

Major providers of loans and investment funding, offering a limited selection of financial services.

Thrift Banks

Financial institutions that primarily focus on savings and mortgage lending.

Rural Banks

Financial institutions established to promote economic development in agricultural and rural areas.

Cooperative Banks

Banks organized on a cooperative basis where members participate in the governance and economic benefits.

Islamic Banks

Financial institutions that operate in accordance with Islamic law (Sharia), focusing on ethical and interest-free banking practices.

Non-Banks

Financial entities that do not offer a full spectrum of banking services, often focusing on specific functions.

Intermediation

The process by which banks link depositors who have funds to those who seek loans, facilitating the flow of capital in the economy.