MGTA01H3 Chapter Notes - Chapter 2: Purchasing Power Parity, Money Supply, Outsourcing

• School: UTSC
• Department: Management (MGT)
• Course: MGTA01H3
• Professor: Chris Bovaird

Document Summary

Gnp gross national product: total value of all goods and services produced by a national economy within a given period (usually 1yr) regardless of where the factors of production are located. (ex. Canadian store, produced in china: is counted in gnp) Real growth rate: the growth rate of gdp adjusted for inflation and changes in the value of the country"s currency. Purchasing power parity: principle that exchange rates are set so that prices of similar products in different countries are about the same. Is the measure of economic growth that compares how much a system produces with the resources needed to produce it. Balance of trade: is the economic value of all the products that a country exports minus the economic value of its imported products. National debt: total $ government owes its creditors. Fiscal policies: policies by means of which governments collect and spend revenues.