Gross Domestic Product - GDP is the total value of output of goods and services in a country in one year. , Recession - A period when GDP is falling. , Inflation - Increase in the average price level of goods and services over time. , Economic growth - When country's GDP increases. (More goods and services are produced in the previous year), Balance of payment - Records the difference between a country's exports and imports , Fiscal policy - Any change by the government in tax rates or public sector spending , Direct tax - income tax, corporate tax, Indirect tax - Expenditure tax, GST, Import tariffs - Tax on an imported item, Import quota - Physical limit on quantity of a product that can be imported,

Chapter 27

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