Chapter 9 Flashcards
Into thousand and seven the GDP in the United States was almost
14 trillion
The net domestic product is usually preferred to GDP by economist because net national product
It excludes depreciation
The largest item amount among these listed here is
Net domestic product
If the GDP rose from 4,000,000,000,000 to 6,000,000,000,000 and prices rose by 50% over this period.
Real GDP stayed the same
If GDP increases faster than the GDP deflator
The real GDP will rise
Which one of the following is taken into account by GDP?
None of the choices are correct
Per capita real GDP is found by
Dividing real GDP by the population
The difference between GDEP and NDP
Depreciation
The largest sector of the GDP is
Consumption
Which is not counted in the GDP?
A Social Security check sent to a retiree
When is their inflation
GDP increases faster than real GDP
In the equation see plus I plus G plus X, the eye is defined as
Total investment in new plant and equipment
Which one of the following is counted in GDP
Government spending
Which of the statements is true? GDP can never be greater than NDP, NDP can never be greater than GDP, GDP and NDP are always equal or none of the statements are true
NDP can never be greater than GDP
If GDP doubled between 1990 and 1995, and the prices doubled between 1990 and 1995 what happened to the real GDP between 1990 and 1995?
It stayed the same
For the purposes of calculating GDP using the expenditure approach, which of the following payments is not included in the government spending component ?
The Social Security pension
Which of the following is the best example of an intermediate product
Steel
When there is deflation,
GDP grows more slowly than real GDP
If the nations output of goods and services is increasing faster than the rate of inflation, then we can say that
GDP is increasing faster than real GDP
National income is the sum of all of the following except
Savings
For the purpose of calculating GDP using the expenditure approach which of the following is not included in the government expenditure accounts?
The welfare payment made it to the poor
Which of the following circumstances would cause current GDP to overstate economic well-being in the comparison to 60 years ago?
An increase in military expenditures
Intermediate products are
Products produced by business firm for resale to other firms
Which of the following would not be included in this years GDP?
The purchase of 100 shares of Microsoft stock
GDP can be used as an
A rough gauge of the economic activity overtime
