Chapter 3 Marketing

Gross domestic product

The combined total of private investment, government spending, personal spending, net exports of goods and services, and change in business inventories.

resources

all things used in producing goods

Communism

goods are available to a classless society.

market economy

individual customers decide what items will best satisfy their wants and needs

factors of production

land, labor, and capital

Standard of living

measurement of the amount and quality of goods and services that a nations people have.

Capital

money to start for operating a business

consumer price index

monthly data on changes in the prices paid by urban consumers for such things as haircuts, baby furniture, medical care, electronics, and transportation

recession

period of economic slowdown

recovery

period of renewed economic growth

inflation

rising prices

productivity

A business ways off 15% of its workforce and increases the responsibilities of the remaining employees and becomes more financially efficient.

command economy

Government makes all economic decisions

unemployment rate

The percentage of the total workforce that is not working but actively seeking paying jobs

Gross national product

The total monetary value of goods and services produced by a nation, including the goods and services produced abroad by its citizens in companies.