Financial Vocabulary

#301

Economics

Example sentences

1. Economics studies how people use limited resources.
2. She studied economics at university.
3. Economics can help explain prices and jobs.

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#302

Microeconomics

Example sentences

1. Microeconomics studies choices made by people and companies.
2. The class used microeconomics to explain product prices.
3. Supply and demand are important in microeconomics.

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#303

Macroeconomics

Example sentences

1. Macroeconomics studies the economy as a whole.
2. Inflation and unemployment are topics in macroeconomics.
3. He reads macroeconomics reports before investing.

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#304

Gross domestic product

Example sentences

1. The country's gross domestic product grew by 3%.
2. Gross domestic product measures goods and services produced inside a country.
3. A recession often causes gross domestic product to fall.

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#305

Gross national income

Example sentences

1. The country's gross national income increased last year.
2. Gross national income includes income earned by residents.
3. The report compares gross national income across countries.

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#306

Economic growth

Example sentences

1. New businesses supported economic growth.
2. Economic growth can create more jobs.
3. The government expects slower economic growth next year.

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#307

Business cycle

Example sentences

1. The business cycle includes periods of growth and decline.
2. Companies prepare for changes in the business cycle.
3. The economy is in a strong part of the business cycle.

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#308

Expansion

Example sentences

1. The economy entered an expansion after the recession.
2. During an expansion, businesses often hire more workers.
3. Strong consumer spending supported the expansion.

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#309

Recession

Example sentences

1. The recession caused sales and jobs to fall.
2. Many families reduced spending during the recession.
3. The government introduced support during the recession.

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#310

Depression

Example sentences

1. A depression is a very deep and long economic decline.
2. Many businesses closed during the depression.
3. The country introduced major reforms after the depression.

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#311

Unemployment rate

Example sentences

1. The unemployment rate fell to 5%.
2. A high unemployment rate can reduce consumer spending.
3. The government publishes the unemployment rate each month.

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#312

Labor force participation rate

Example sentences

1. The labor force participation rate increased this year.
2. The labor force participation rate shows how many adults work or seek work.
3. More women entering jobs raised the labor force participation rate.

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#313

Consumer price index

Example sentences

1. The consumer price index rose because food became more expensive.
2. The consumer price index is often used to measure inflation.
3. The government publishes the consumer price index monthly.

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#314

Producer price index

Example sentences

1. The producer price index increased as material costs rose.
2. The producer price index tracks prices received by producers.
3. Analysts watch the producer price index for future inflation.

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#315

Monetary policy

Example sentences

1. The central bank changed monetary policy to control inflation.
2. Lower interest rates are one tool of monetary policy.
3. Investors listened to the monetary policy announcement.

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#316

Fiscal policy

Example sentences

1. The government used fiscal policy to support the economy.
2. Tax and spending decisions are part of fiscal policy.
3. Expansionary fiscal policy can increase demand.

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#317

Money supply

Example sentences

1. The central bank watches the money supply.
2. A rapid rise in money supply may affect inflation.
3. The report showed slower growth in the money supply.

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#318

Policy rate

Example sentences

1. The central bank raised the policy rate by 0.25%.
2. A higher policy rate can make loans more expensive.
3. Banks changed their rates after the policy rate decision.

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#319

Federal funds rate

Example sentences

1. The Federal Reserve raised the federal funds rate.
2. The federal funds rate affects short-term borrowing costs.
3. Markets expected no change in the federal funds rate.

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#320

Open market operations

Example sentences

1. The central bank used open market operations to manage bank reserves.
2. Open market operations involve buying or selling securities.
3. The money supply changed after the open market operations.

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