8/2/2019 Economics Assgnmnt

1/2

Emp ratioThe ratio between the total number of employed and the population aged 1559. This differsfrom the employment rate, which (in the denominator) only considers the labour force.

A price index (plural: price indices or price indexes) is a normalized average (typically aweighted average) of prices for a given class of goods or services in a given region, during agiven interval of time. ...

Net ExportsThe balance of trade (or net exports, sometimes symbolized as NX) is the differencebetween the monetary value of exports and imports of output in an economy over a certainperiod. It is the relationship between a nation's imports and exports.

Public FinanceCollectionoftaxesfrom those whobenefitfrom theprovisionofpublic goodsbythegovernment, and the use of thosetaxfundstowardproductionanddistributionof thepublic goods

Budget DeficitTheamountby which agovernment,company, or individual's spendingexceedsitsincomeovera particularperiodof time.also calleddeficitordeficit spending. opposite ofbudget surplus.

Budget SurplusTheamountby which agovernment's,company's, orindividual'sincomeexceedsits spendingover a particularperiodof time. Generally, a government doesnotneedtomaintainabudgetsurplus.

Deficit Financing:Deficit spending is the amount by which a government, private company, or individual's

spending exceeds income over a particular period of time, also called simply "deficit," or"budget deficit," the opposite of budget surplus.

Potential outputpotential output (also referred to as "natural gross domestic product") refers to the highest levelofrealGross Domestic Productoutput that can be sustained over the long term. The existence of alimit is due to natural and institutional constraints. If actual GDP rises and stays above potentialoutput, then (in the absence of wage and price controls)inflationtends to increaseasdemandexceedssupply. This is because of the limited supply of workers and their time, capitalequipment, and natural resources, along with the limits of ourtechnologyand ourmanagementskills.

Output Gap

The difference between the actualoutput(such asGDP) of aneconomyand the output thatthe economy would be at underfullcapacityor maximumefficiency(thepotential output). Anegative outputgap, in which actualproductionis lower than efficient production, indicatesthatresourcesare not properly allocated. A positive output gap indicates that GDP is higherthan what can be supported by existinglaborandcapital resources, and is aleadingindicatorofinflation.

Inflationary gap:A macroeconomic condition that describes the distance between the current level of real grossdomestic product (GDP) and full employment (long run equilibrium) real GDP.

Deflationary Gap:TheGDPgap or the output gap is the difference betweenpotential GDPandactual GDPor actual

output. The calculation for the output gap is YY* where Y is actual output and Y* is potential output.\

http://www.businessdictionary.com/definition/collection.htmlhttp://www.businessdictionary.com/definition/collection.htmlhttp://www.investorwords.com/5972/taxes.htmlhttp://www.investorwords.com/5972/taxes.htmlhttp://www.investorwords.com/5972/taxes.htmlhttp://www.businessdictionary.com/definition/benefit.htmlhttp://www.businessdictionary.com/definition/benefit.htmlhttp://www.businessdictionary.com/definition/benefit.htmlhttp://www.businessdictionary.com/definition/provision.htmlhttp://www.businessdictionary.com/definition/provision.htmlhttp://www.businessdictionary.com/definition/provision.htmlhttp://www.businessdictionary.com/definition/public-good.htmlhttp://www.businessdictionary.com/definition/public-good.htmlhttp://www.businessdictionary.com/definition/public-good.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.businessdictionary.com/definition/tax.htmlhttp://www.businessdictionary.com/definition/tax.htmlhttp://www.businessdictionary.com/definition/funds.htmlhttp://www.businessdictionary.com/definition/funds.htmlhttp://www.businessdictionary.com/definition/funds.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/distribution.htmlhttp://www.businessdictionary.com/definition/distribution.htmlhttp://www.businessdictionary.com/definition/distribution.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.investorwords.com/9617/exceed.htmlhttp://www.investorwords.com/9617/exceed.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.investorwords.com/1371/deficit.htmlhttp://www.investorwords.com/1373/deficit_spending.htmlhttp://www.investorwords.com/1373/deficit_spending.htmlhttp://www.investorwords.com/1373/deficit_spending.htmlhttp://www.investorwords.com/602/budget_surplus.htmlhttp://www.investorwords.com/602/budget_surplus.htmlhttp://www.investorwords.com/602/budget_surplus.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.businessdictionary.com/definition/individual.htmlhttp://www.businessdictionary.com/definition/individual.htmlhttp://www.businessdictionary.com/definition/individual.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.businessdictionary.com/definition/need.htmlhttp://www.businessdictionary.com/definition/need.htmlhttp://www.businessdictionary.com/definition/need.htmlhttp://www.businessdictionary.com/definition/maintain.htmlhttp://www.businessdictionary.com/definition/maintain.htmlhttp://www.investorwords.com/600/budget.htmlhttp://www.investorwords.com/600/budget.htmlhttp://en.wikipedia.org/wiki/Real_vs._nominal_in_economicshttp://en.wikipedia.org/wiki/Real_vs._nominal_in_economicshttp://en.wikipedia.org/wiki/Gross_Domestic_Producthttp://en.wikipedia.org/wiki/Gross_Domestic_Producthttp://en.wikipedia.org/wiki/Gross_Domestic_Producthttp://en.wikipedia.org/wiki/Inflationhttp://en.wikipedia.org/wiki/Inflationhttp://en.wikipedia.org/wiki/Inflationhttp://en.wikipedia.org/wiki/Demandhttp://en.wikipedia.org/wiki/Demandhttp://en.wikipedia.org/wiki/Demandhttp://en.wikipedia.org/wiki/Supply_and_demandhttp://en.wikipedia.org/wiki/Supply_and_demandhttp://en.wikipedia.org/wiki/Supply_and_demandhttp://en.wikipedia.org/wiki/Technologyhttp://en.wikipedia.org/wiki/Technologyhttp://en.wikipedia.org/wiki/Technologyhttp://en.wikipedia.org/wiki/Managementhttp://en.wikipedia.org/wiki/Managementhttp://en.wikipedia.org/wiki/Managementhttp://www.businessdictionary.com/definition/output.htmlhttp://www.businessdictionary.com/definition/output.htmlhttp://www.businessdictionary.com/definition/output.htmlhttp://www.investorwords.com/2153/GDP.htmlhttp://www.investorwords.com/2153/GDP.htmlhttp://www.investorwords.com/2153/GDP.htmlhttp://www.businessdictionary.com/definition/economy.htmlhttp://www.businessdictionary.com/definition/economy.htmlhttp://www.businessdictionary.com/definition/economy.htmlhttp://www.investorwords.com/2106/full.htmlhttp://www.investorwords.com/2106/full.htmlhttp://www.businessdictionary.com/definition/capacity.htmlhttp://www.businessdictionary.com/definition/capacity.htmlhttp://www.businessdictionary.com/definition/capacity.htmlhttp://www.businessdictionary.com/definition/efficiency.htmlhttp://www.businessdictionary.com/definition/efficiency.htmlhttp://www.businessdictionary.com/definition/efficiency.htmlhttp://www.businessdictionary.com/definition/potential-output.htmlhttp://www.businessdictionary.com/definition/potential-output.htmlhttp://www.businessdictionary.com/definition/potential-output.htmlhttp://www.investorwords.com/2147/gap.htmlhttp://www.investorwords.com/2147/gap.htmlhttp://www.investorwords.com/2147/gap.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/resource.htmlhttp://www.businessdictionary.com/definition/resource.htmlhttp://www.businessdictionary.com/definition/resource.htmlhttp://www.businessdictionary.com/definition/labor.htmlhttp://www.businessdictionary.com/definition/labor.htmlhttp://www.businessdictionary.com/definition/labor.htmlhttp://www.businessdictionary.com/definition/capital-resource.htmlhttp://www.businessdictionary.com/definition/capital-resource.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.businessdictionary.com/definition/inflation.htmlhttp://www.businessdictionary.com/definition/inflation.htmlhttp://www.businessdictionary.com/definition/inflation.htmlhttp://en.wikipedia.org/wiki/GDPhttp://en.wikipedia.org/wiki/GDPhttp://en.wikipedia.org/wiki/GDPhttp://en.wikipedia.org/wiki/Potential_GDPhttp://en.wikipedia.org/wiki/Potential_GDPhttp://en.wikipedia.org/wiki/Potential_GDPhttp://en.wikipedia.org/wiki/Actual_GDPhttp://en.wikipedia.org/wiki/Actual_GDPhttp://en.wikipedia.org/wiki/Actual_GDPhttp://en.wikipedia.org/wiki/Actual_GDPhttp://en.wikipedia.org/wiki/Potential_GDPhttp://en.wikipedia.org/wiki/GDPhttp://www.businessdictionary.com/definition/inflation.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.investorwords.com/2741/leading_indicator.htmlhttp://www.businessdictionary.com/definition/capital-resource.htmlhttp://www.businessdictionary.com/definition/labor.htmlhttp://www.businessdictionary.com/definition/resource.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.investorwords.com/2147/gap.htmlhttp://www.businessdictionary.com/definition/potential-output.htmlhttp://www.businessdictionary.com/definition/efficiency.htmlhttp://www.businessdictionary.com/definition/capacity.htmlhttp://www.investorwords.com/2106/full.htmlhttp://www.businessdictionary.com/definition/economy.htmlhttp://www.investorwords.com/2153/GDP.htmlhttp://www.businessdictionary.com/definition/output.htmlhttp://en.wikipedia.org/wiki/Managementhttp://en.wikipedia.org/wiki/Technologyhttp://en.wikipedia.org/wiki/Supply_and_demandhttp://en.wikipedia.org/wiki/Demandhttp://en.wikipedia.org/wiki/Inflationhttp://en.wikipedia.org/wiki/Gross_Domestic_Producthttp://en.wikipedia.org/wiki/Real_vs._nominal_in_economicshttp://www.investorwords.com/600/budget.htmlhttp://www.investorwords.com/600/budget.htmlhttp://www.businessdictionary.com/definition/maintain.htmlhttp://www.businessdictionary.com/definition/need.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.businessdictionary.com/definition/individual.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.investorwords.com/602/budget_surplus.htmlhttp://www.investorwords.com/1373/deficit_spending.htmlhttp://www.investorwords.com/1371/deficit.htmlhttp://www.investorwords.com/3669/period.htmlhttp://www.investorwords.com/2400/income.htmlhttp://www.investorwords.com/9617/exceed.htmlhttp://www.investorwords.com/992/company.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.investorwords.com/205/amount.htmlhttp://www.businessdictionary.com/definition/distribution.htmlhttp://www.businessdictionary.com/definition/production.htmlhttp://www.businessdictionary.com/definition/funds.htmlhttp://www.businessdictionary.com/definition/tax.htmlhttp://www.businessdictionary.com/definition/government.htmlhttp://www.businessdictionary.com/definition/public-good.htmlhttp://www.businessdictionary.com/definition/provision.htmlhttp://www.businessdictionary.com/definition/benefit.htmlhttp://www.investorwords.com/5972/taxes.htmlhttp://www.businessdictionary.com/definition/collection.html

8/2/2019 Economics Assgnmnt

2/2

National Savings:a country's national savings is the sum of private and public savings. It is generally equal toa nation's income minus consumption and government purchases.

Budget:A Budget is a plan that outlines an organization's financial and operational goals. So abudget may be thought of as an action plan; planning a budget helps a business allocateresources, evaluate performance, and formulate plans.

Economic planning:Economic planning is an action taken by a government in a market economy or market-oriented mixed economy, beyond the basic regulation of fraud and enforcement of contracts,in an effort to affect its own economy.

Exim policy:Export and Import (Exim) Policy. got incorporated into the comprehensive Foreign TradePolicy, which was announced by the Commerce & Industry Minister on 31 st August, 2004 .