ECN 204 Chapter 4: Chapter 4

• School: Ryerson University
• Department: Economics
• Course: ECN 204
• Professor: Amy Peng

Document Summary

Inflation: an increase in the overall price level. Gdp growth : substained increases in gdp per capita. Rate of growth of real gdp: it is the quantity of final goods and service produced in the economy in a specific time period. Price level : is a measure of the weighted average of price of wide variety of goods and services: cpi = consumer price index. Employment: the number of adults employed full time, part time or self employed. Small differences in annual growth rates can have large long-run effects: year after year compound growth, compound interest is the payment of interest not only on the original deposit but on all previously accumulated interest www. notesolution. com. Rule of 72: a rule of thumb stating that to find the number of years it takes a magnitude to double when it is growing at a constant rate, divide 72 by the growth rate.