Opportunity cost	The opportunity cost is the value of the second best alternative.
Employed	Employed is defined as a person who is working and has been paid for one hour or more in their job, business or firm.
Unemployed	Unemployed is someone who is willing and able to work but cannot find a job.
Not employed	Not employed is when someone who is not willing to work and not actively looking for one.
Underemployed	Underemployed is when someone is a part time or a casual worker and they work for less than 38 hours a week, but would like to work more.
Labour Force	The labour force is supposed to represent all potential workers in Australia
Structural Unemployment	Structural unemployment occurs because of structural changes within the economy caused by changes in technology or the pattern of demand for goods and services.
Cyclical Unemployment	Cyclical unemployment occurs with changes in economic activity over the business cycle.
Frictional Unemployment	Frictional unemployment represents the people who are temporarily unemployed as they change jobs – they have finished one job, but have not started a new one.
Seasonal Unemployment	Seasonal unemployment occurs at predictable and regular times throughout the year because of the seasonal nature of some kinds of work
Inflation	Inflation is a persistent and appreciable rise in the general level of prices of goods and services.
CPI	The CPI is measured by calculating the average percentage price increases of a ‘basket’ of consumer items typically used by Australian households.
Demand pull inflation	This occurs when the total demand is greater than the total supply.
Cost push inflation	Cost push inflation occurs when rising costs of production are passed on to consumers, who then have to pay higher prices for final goods and services.
Economic growth	Economic growth is defined as the increasing capacity of the economy to satisfy the wants of its members.
GDP	It represents the total dollar value of all final goods and services produced over a specific time period;
Natural Resources	Natural resources comprise resources that are produced by nature which includes plants, water resources and landscape.
Infrastructure	Infrastructure includes the stock of buildings, machinery, energy provisions, transportation, communication network, services/facilities such as hospitals etc.
Leakage	Money flowing out of the economy.
Injection	Money flowing into the economy.
Business cycle	The business cycle is an economic model which shows fluctuations in the level of economic activity over time.
Boom	The boom phase of the business cycle is the peak of the curve where the economic activity is above average.
Downswing	When economic activity is decreasing.
Recession	A recession occurs when economic growth decreases for two or more quarters (six months or more) in a row.
Upswing	The upswing phase is where the level of economic activity is increasing.
Trough	The trough phase occurs when production reaches its lowest level, involving negative rates of economic growth.
Productivity	Productivity measures what can be produced (output) from a given amount of resources (input).
Labour Productivity	Labour productivity measures the amount of goods and services that a worker can produce in a given amount of time.
Capital Productivity	Capital productivity measures the amount of goods and services that can be produced using a fixed amount of capital in a given amount of time.
Wealth	Wealth is a stock of assets (accumulated over time through savings, investment and inheritance).
Income	Income is the flow of income payments (salaries and wages)
Lorenz Curve	Lorenz curves are an effective way of showing the distribution of income within and between countries.
Gini Coefficient	The Gini coefficient is to examine how the distribution of income varies between sectors of the population.
Economic Indicator	An economic performance indicator is a key statistic that indicates the direction of an economy.
Standard of Living	Standard of living (SOL) refers to the amount of wealth, comfort, material goods and necessities that a particular individual, society or country has.

Economics