Answer to Question #192737 in Macroeconomics for Elsworth Lewis

Question

I have 29 words/terms that that are each displayed in a hexagon. I need to create a slide to show how these economic words/terms relate. The words/terms are: expansion, supply, competition, scarcity, opportunity cost, unemployment, factors of production, demand, loans, perfect competition, debt, savings, interest, insurance, rent, checking, federal reserve, depression, credit productivity, growth, GDP, taxes, car, trade.

Answer 1

Expansion: The economic phase in which a country saw a rapid economic growth, this phase comes after trough period in an economic cycle.

Supply: It is the willingness of a producer to produce goods and services and provide it in the market for a consumer's consumption.

Competition: In economic situation where firms take decisions in order to sustain in the market for long-run.

Scarcity: It defines the limited resources or short supply of the resources that are used in the process of production.

Opportunity cost: It is the cost that a producer misses out when chooses one good for producing instead of its alternative .

Unemployment: It is a situation where all those who are willing and able to work at the prevailing wage rate failed to get work.

Factors of production: These are the inputs that are being used by the producer in the process of production. These include Land, Labor, Capital, Entrepreneur.

Demand: It is the willingness of a consumer to possess a good or services at the specified prices.

Loans: It the amount that is generally being lend by the financial institutions in an economy in return of some interest on it.

Perfect Competition: It is a market form where there are a large number of sellers and large number of buyers exchanging identical products.

Debt: It is the Obligation for an amount of money that one party(debtor) Owes to pay the another party(Creditor).

Saving: It is that part of Income which is not generally being spent by an individual or firm. But rather kept with himself in order to be used in future.

Interest: It is the amount that is to be paid in addition to the borrowing for borrowing money for a specified period of time.

Insurance: It is an amount against which the insurer was guaranteed in case he incurs any lose on the insured item. 

 Rent: It is that amount which is paid for the consumption or use of the land that is used in the process of production.

Checking: It is the process of examining a goods or services for the specified use as mentioned in it.

Federal reserve: It is the Central bank of the united states formed to perform and regulate the financial operations.

Depression: When an economy starts showing sign of negative growth or when it starts degrowing it is said to be in a a state of depression.

Credit Productivity: When the credit that has been taken is used for some productive purpose or when it contributes to the economic activities it is termed as credit productivity.

Growth: It is the increase in the number or size particularly in the context of an economy.

GDP: Gross domestic product or GDP is the summation of all the goods and services that are produced within the domestic territory of a country during an accounting year.

Taxes: It is an compulsory amount that an individual is liable to pay to the government on to the imposing of taxes. It is one of the most important source of government Revenue.

Trade: It is the transfer of goods and services from one individual/firm to another, It could be from business to business (B2B) or from business to consumer (B2C) .