econ (gdp questions) Flashcards
the unemployment rate is the percentage of…
labor force that is unemployed
the business cycle measures..
short-run fluctuation in economic activity
to determine living standards for the average person, we calculate..
per capita GDP
A company produces a computer. It pays $100 for the keyboard and outer case,
$200 for the internal hardware, and $100 for the software. It sells the computer to a consumer for $500. The contribution to GDP is…
$400
Inflation occurs when…
overall level of prices rise
Gross domestic product
(GDP) is the best defined as the total market value of all…
final goods and services produced within a country within a given time
The gross domestic product(GDP) deflator is a measure of…
price level
The government purchases category of gross domestic product(GDP) includes spending by…
federal, state, and local governments
an economic downturn car lead to mainly which type of unemployment?
cyclical
Some individuals are unemployed because it takes time for them to find jobs that fit their skill sets. These individuals would be considered…
frictionally unemployed
If over a period of time real
GDP increases, while nominal GDP decreases, then the implies…
significant drop in price level
The phase of the business cycle where economic activity is decreasing is called…
economic contraction
Bob sells his car to Stan’s
Used Car Lot for $5,000.
Stan’s Used Car Lot sells the
car to Bill for $5,500. This
transaction contributes
to GDP…
0/nothing
Pietro quits his job in New York and moves to California.
After two months he finds a job. this is an example of unemployment…
frictional
The phases of the business cycle where the economy is growing faster than usual is called…
economic expansion
To calculate the labor force participation rate, you only need to know the…
number of employed and unemployed and the relevant adult population
which of the following statements is true about the natural rate of unemployment?
sometimes the actual rate is below the natural rate
a member of the labor is defined as someone who is…
above 16, or already employed or actively seeking work
Katherine was laid off from her job 11 months ago. After searching for a job for months, Katherine gives up her job search because she feels there are no jobs available for her. Economists would classify Katherine as:
discouraged worker
It has been shown that increase in the money supply are directly related to the rate of inflation, if the previous statement is true, then
hyperinflation will normally be associated with large increases in…
money supply
deflation is occuring in a nation; the implication(s) of this is/ are
both and real normal wages are rising
Which of the following people I W would be officially considered unemployed?
Jenna, who just graduated college and is searching for a job that fits her graphic-design skills
Nominal gross domestic product(GDP) increases if…
current prices or quantities increase
A computer company builds a a t new factory. This is included in the _ category of gross domestic product(GDP)
investment
