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Chapter 5 Vocabulary

Across
The economy's pattern of expansion then contraction then expansion again
A sustained period in which real GDP is falling
A number whose movement reflects movement in the average level of prices
The total number of people working or unemployed
The total value of final goods and services produced for a particular period valued in terms of prices for that period
The rate of unemployment consistent with the natural level of unemployment
A price index for all final goods and services produced, it is the ratio of nominal to real GDP
A price index whose movement reflects changes in the prices of goods and services typically purchased by consumers
A decrease in the average level of prices
An increase in the average level of prices
A value expressed in dollars of the current period
A time period against which costs of the market basket in other periods will be compared in computing a price index
Down
Unemployment that occurs because it takes time for employers and workers to find each other
The percentage of the labor force that is unemployed
Unemployment in excess of the unemployment that exists at the natural level of unemployment
Unemployment that results from a mismatch between worker qualifications and the characteristics employers require
An inflation rate in excess of 200% per year
The point of the business cycle at which an expansion ends and a recession begins
A value expresses in units of constant purchasing power
The point of the business cycle at which a recession ends and an expansion begins