Economics

• Trend


  the overall direction of movement in a set of information or data. Trends are usually increasing, decreasing, stable or fluctuating
• Economic Growth


  an increase in the value in the goods and services produced by an economy over time. It is usually measured as a percentage change in real GDP
• Unemployment


  those of working age who are not in employment and are willing and able to work
• Inflation


  a general rise in the level of prices in an economy over time
• Quantitative Indicator


  information that can be counted or measured numerically
• Sustainable Economic Growth


  a rate of growth which can be maintained without creating other significant economic problems, especially for future generations
• Parameter


  a guideline, boundary or outer limit
• GDP per capita


  a measure of economic output that accounts for its number of people. It divides the countries gross domestic product it its population.
• Labour Force Survey


  a monthly survey that collects information about the employment status of Australians aged 15 and over
• Frictional Unemployment


  Occurs when people are unemployed between finishing one job and starting another, or entering the workforce for the first time
• Structural Unemployment


  Occurs due to changes in the way goods and services are produced, leading to a mismatch of skills
• Cyclical Unemployment


  Occurs when the level of spending in the economy falls
• Seasonal Unemployment


  Results from the termination of jobs at the same time each year due to the regular change in seasons
• Real wages


  income expressed in terms of purchasing power as opposed to actual money received
• Real GDP


  a measure of a country's gross domestic product that has been adjusted for inflation
• Consumer Price Index (CPI)

  a measure of the average change over time in the prices paid by households for a fixed basket of goods and services
• Standard of Living


  the quality and quantity of goods available to a given population.
• Human Development Index (HDI)

  a statistic composite index of life expectancy, education and per capita income indicators
• Qualitative Indicators


  information that cannot easily be countedor measured numerically; often subjective measures
• Debt Trap


  a situation in which a debt is difficult or impossible to repay, typically because of high interest payments
• Wealth


  the value of assets owned
• Income


  the flow of money a person earns from providing their labour or other productive resources
• Gini Coefficient


  a measure of income inequality between countries using a 100-point scale, in which 1 represents complete equality and 100 represents the highest possible inequality
• What tax system does Australia operate

  A progressive tax system
• Progressive Tax System


  imposes a greater percentage of taxation on people at higher income levels
• Social Welfare


  a type of government support intended to ensure that all members of a society can meet basic needs
• How do governments act to improve economic performance?

  Increase productivity and training and development
• Human Capital


  the skills, knowledge and experience possessed by an individual or population, viewed in terms of their value or cost to an organisation or country
• Underemployment


  occurs when a person works fewer hours than they would ideally like or takes a job that does not reflect their actual training and skills
• Factors influencing consumer decision

  Price and finance, ethical considerations and personal value, demographics and personality and marketing
• Elasticity


  an economic term describing the change in the behaviour of buyers and sellers in response to a price change for a good or service
• Finance


  money received from a financial institution in exchange for future repayment at a rate of interest
• Interest


  money paid regularly at a particular rate for the use of money borrowed
• Credit History


  a record of a person's ability to repay debts and demonstrated responsibility in repaying them
• Ethical Company


  one that is not causing damage to the environment, exploiting its workforce by paying low wages, using child labour or producing products that are harmful or dangerous
• Boycott


  to stop buying or using the goods or services of a certain company or country as a protest
• Just in time inventory (JIT)


  a strategy of managing inventory and/or production that links the ordering of raw materials to production scheduling
• Inventory


  the array of finished goods waiting for sale or materials used in production held by a company