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Chapters 10 & 13

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  4               5        
7     8  
10                                 11              
    12                               13
          15             16  
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23                                 24    
  26                         27

2.Stable price growth is when CPI<___%
4.The rate of interest charged by the Federal Reserve banks for lending reserves to private banks
6.Objectives of Macroeconomic policy: Output. Jobs, Growth, Prices, & ______
10.The Fed buys bonds to ______ bank reserves, and sells them to ______ reserves
11.Damaging type of unemployment; when there are not enough jobs to go around due to downturns in the business cycle; due to reduced output
12.The minimum amount of reserves a bank is required to hold by government regulation
15.Bank _____ are only a fraction of total transaction deposits
17.Measure of changes in the average price of consumer goods and services
21.C+I+G+(X-IM)= ___
22.Potential problem with macro equilibrium; the price-output relationship may not satisfy our macroeconomic goals
23._______ _______ is a short run concept; a time when many production costs can be taken as fixed.
26.Total GDP / total population; GDP ___ _____
28.Healthy type of unemployment; A brief period, associated with a job search
29.The lowest rate of unemployment compatible with price stability
30.Potential problem with macro equilibrium; even if the designated macro equilibrium is optimal, it is likely to be displaced by macro disturbances
31.The interest rate banks charge each other for lending overnight reserves
32.The Federal ______ is the total amount of money the government owes
1.The study of aggregate economic behavior, of the economy as a whole
3.The price of apples compared to other fruit
5.Effects of inflation: price, income, wealth, & ________
7._____ = # of people unemployed / # of people in the labor force
8.A banks reserves in excess of required reserves
9.M1; Currency held by the public, plus balances in transactions accounts
13.Shows the rise and fall of the economy as a whole
14.The annual rate of increase in the average price level
16._________ economics primary objectives are: shift AS, emphasis on production side, a return to Classical Theory & restating Say’s Law
18.The lowest rate of unemployment compatible with price stability
19.Increase in the average level of prices, not a change in one specific price
20.A bank account that permits direct payments to a third party; _______ account
24.The Federal _______ is the amount of money the government spends in borrowed money, a year
25.Banks & Borrowers create _____
27.AS slope is relatively ____ when there are low levels of output as capacity is underutilized

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