front 1 Business cycle | back 1 The business cycle tracks the size of the economy as it increases and decreases and goes through four phases – growth, boom decline and slump |
front 2 Economy | back 2 Everything which is produced and consumed within a country |
front 3 Globalisation | back 3 Increased interconnectedness and worldwide movement of goods, services, capital and people |
front 4 Government Spending | back 4 Government investment on infrastructure or spending on welfare payments |
front 5 Gross Domestic Product | back 5 Gross Domestic Product measures the size of the economy. Calculated by adding up the value of all the goods and services produced in one country in on year |
front 6 Inflation | back 6 Prices and salaries rise so the value of money – what you can buy - decreases |
front 7 Quotas | back 7 A limit on imports |
front 8 Recession | back 8 Economy is decreasing in size |
front 9 Business ethics | back 9 “Doing the right thing”. Basing business decisions on what is morally right |
front 10 External benefits | back 10 The positive impact of business activity which doesn’t benefit the business but positively affects the rest of society |
front 11 External costs | back 11 The costs of business activity which aren’t paid by the business but by society |
front 12 Multinational corporations (MNC) | back 12 Businesses that sell goods/services or have production in more than one country |
front 13 Pressure Groups | back 13 Group that tries to influence business or consumer activity in the interest of a particular cause |
front 14 Repatriating profits | back 14 Taking profits earned in a foreign market and transferring to the home country of the business |
front 15 Sustainable development | back 15 Achieving development (growth) without negatively impacting the environment |
front 16 Currency appreciation | back 16 Value of a currency rises |
front 17 Currency depreciation | back 17 Value of a currency falls |
front 18 Exchange rate | back 18 The price of one currency for another, for example 1 euro = $2 |
front 19 Interest Rates | back 19 The cost of borrowing money. Lower interest rates means higher spending and greater economic activity |
front 20 Tariffs | back 20 A tax on imports |