MGMT 100 Chapter Notes - Chapter 2: Gross Domestic Product, Disinflation, Planned Economy

• School: UBC Okanagan, UBC OK
• Department: Management
• Course: MGMT 100
• Professor: Ying Zhu

Document Summary

Brain drain: loss of educated people to other countries. Business cycles (economic cycles): periodic rises and falls that occur in economies over time. Capitalism: economic system in which all or most of the factors of production and distribution are privately owned and operated for profit. Command economy: economy in which the government largely decides what goods and services are produced, who gets them, and how the economy grows. Communism: an economic and political system in which the state makes all economic decisions and owns almost all of the major factors of production. Consumer price index (cpi): monthly statistics that measures the pace of inflation or deflation. Deflation: a situation in which prices are declining. Demand: quantity of products that people are willing to buy at different prices at a specific time. Disinflation: situation in which the price increases are slowing (i. e. , inflation rate is declining).