Tags & Description
circular flow of income
how money moves from producers to households and bac kagain in a loop
role: household sector
sellers in the market for resources
role: firms
produce goods and services, which they sell to consumers for a price
role: financial sector
takes funds from savers (through deposits) and lends them to those who risk to borrow
role: government sector
provides legal and social framework within which the economy operates
role: overseas sector
to undertake external activity that is outside the control of the domestic economy
contraction
a period when economic output declines
expansion
the economy is moving out of reccesion
equilibrium
condition or state in which economic forces are balanced
leakages
withdrawls from economy (form of saving, taxes)
injections
intro of income into flow
international trade
the exchange or trade of goods & services between different nations
internatinal trade benefits to aus
creating jobs and prosperity, opening opportunities for aussie businesses to expand
specialisation
the process where a company or individual decides to focus their labour on a specific type of production
nations specialise in goods & services
countries become better at making the product they specialise in
Australias top imports
-machinery -vehicles -electrical machinery equipment
Australias top exports
-iron ore -coal -petrol
Australias top exports partners
-china -japan -united states
australias top imports partners
-china -japan -united states
globalisation
process of interaction with companies and government worldwide
benefits to globalisation
-access to new cultures -spread of technology -lower costs for production
costs of globalisation
-environment costs -labour drain -tax competition and avoidance
multinational corporations
any corporations that is registered and operates in more than one country at a time
characteristics of multinational corp
-very high assets and turnover -network branches -continued growth
investment types
-cash -property -shares
cash reward
larger amounts of money can be invested in cash investments issued by state and federal governments
cash risks
cash investments have little risk and consequently provide a modest return
term deposit
an account that locks away and invest your money for a fixed period of time, between one month to five years
property rewards
consistant income, tax advantages, rental income
property risk
lack of liquidity, difficult management
shares rewards
capital growth, dividends, liquidity, shareholder benefits
share risks
share prices can fall rapidly
scam
a dishonest scheme (fraud)
ways consumers can protect themselves from scams
-keep passwords in a safe place -keep pin numbers in safe place -careful how much info being shared on socail media
how workplace has changed die to covid
remote working was the most reported uptake of new technology from covid
biomes
a large naturally occuring community of flora and fauna occupying a major habitat
australian biomes
-desert -savannah -tropical -great barrier reef
location: desert biomes
-north america -southwestern US -mexico
climate: desert biomes
38C (day) -3.9 (night)
vegetation: desert biomes
-prickly pears -cactus -yuccas