National Economic Performance


 
5.1 Define aggregate supply and demand, Gross Domestic Product (GDP), economic growth, unemployment, and inflation
5.2 Explain how GDP, economic growth, unemployment and inflation are measured.
5.3 Explain the limitations of using GDP to measure economic welfare.
5.4 Explain the four phases of the business cycle (contraction, trough, expansion and peak).
5.5 Analyze the impact of events in United States history, such as wars and technological developments, on business cycles.
5.6 Identify the different causes of inflation and explain who gains and loses because of inflation.
5.7 Analyze the impact of inflation on students' economic decisions.
5.8 Illustrate and explain cost-push and demand-pull inflation.
5.9 Recognize that a country's overall level of income, employment and prices are determined by the individual spending and production decisions of households, firms and government.
5.10 Illustrate and explain how the relationship between aggregate supply and aggregate demand is an important determinant of the levels of unemployment and inflation in an economy.
5.11 Compare and contrast solutions for reducing unemployment.
 

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