Economy

NAFTA- The North America Free Trade Agreement. An agreemnt signed by Cananda, Mexico, and the United States creating a trilateral tradeblock in North America. World Trade Organization- is an international organization designed by its founders to supervise and liberalize international capital trade, meeting every two years. Social Security-a program of old-age, unemployment, health, disability, and survivors insurance maintained by the U.S. federal government through compulsory payments by specific employer and employee groups. Federal Reserve System-is the central banking system of the united states. it was created in 1913by the enactment of the federal reserve act. it was made because there was a large financial panic and bank runs. Gross Domestic Product Inflation- Inflation is an upward movement in the average level of prices. The boundary between inflation and deflation is price stability. Inflation keeps going up and everythings going up. Deflation-**//a decrease in the general price level and goods and services. deflation occurs when the annual inflation rate falls below zero percent resulting in an increase in the real value of money.//** Stagflation- **When inflation and economic stagnation occur simultaneously. Which is a progressive increase of prices, while the economic growth is slowing over a prolonged period of time.** Recession- **a general slowdown in economic activity overa a long period of time, or a business cycle contraction** National Debt The national debt is the total amount of debt the federal government has on its book. Most of the national debt is in the form of government issued bonds. Deficit Spending Monopoly Union-labor or trade labor, an association of workers banded together in the interests of its members Unemploymentoccurs when a person is available to work but is currently out of work. It is measured by using the unemployment rate, which is the percentage of those in the labor force that are currently unemployed.

bMinimum Wage- Minimum wage is the very least u can get paid. In the 1920’s they didn’t have a minimum wage and that is where they ran into problems. Defense Budget Stock market-public market for the trading of company stock and derivatives at an agreed price; these are securities listed on a stock exchange as well as those only traded privately Stock Index- A method of measuring a section of the stock market. This information is cited by financial services. The performance of one nation’s stock market is a national index. A proxy is the state of that nation’s economy.