Grade 12 C

Consumers drive market choices.

Prices are determined by supply and demand.

Businesses compete for profits.

Government makes production decisions.

Income of the average citizen.

Total value of all goods produced.

Government spending levels.

Amount of currency in circulation.

Value of the next best alternative forgone.

Cost of a missed deadline.

Price of a substitute good.

Total cost of all options.

Decrease in the unemployment rate.

General increase in prices over time.

Increase in stock market values.

Rise in consumer spending only.

To raise government revenue only.

To increase import quotas.

To protect domestic industries from foreign competition.

To lower consumer prices.

Purchasing power decreases over time due to rising prices.

Salaries increase effectively each year.

Savings grow faster than costs.

Interest rates drop instantly.

Raising interest rates significantly.

Increasing taxes on all citizens.

Reducing public spending entirely.

Lowering interest rates to encourage borrowing and spending.

Stagnation relates to unchanged price levels.

Deflation indicates falling prices overall.

Recession is solely about job loss.

Inflation refers to the general increase in price levels.

Government regulations on prices.

Increased consumer demand for goods and services.

A decrease in supply of goods.

Higher production costs of resources.

Consumer Price Index (CPI).

Gross Domestic Product (GDP)

Producer Price Index (PPI)

Retail Sales Index (RSI)

It has no effect on purchasing power.

It increases savings for consumers.

It decreases purchasing power over time.

It increases value of currency.

Low interest rates for loans.

Low unemployment rates nationally.

Rapid and excessive increases in prices.

Stable economic growth rates.