Econ Test 2 Formulas

Question 1

GDP Expenditure approach

Answer 1

Compensation of Employees+ Gross Investment+ Government purchases+ Net Imports (X-M)

COE+GI+GP+NI

Question 2

GDP Income approach

net domestic income at factor prices

Answer 2

Compensation of Employees+ Transfer payments+ Profits+ Rents

COE+TP+P+R

Question 3

working age population

Answer 3

population-<16 years old- institutions

P-<16 years old-I

Question 4

Labor Force

Answer 4

employed+ unemployed

Question 5

unemployment Rate

Answer 5

unemployed/Labor Force fromula

U+ Labor Force Formula

Question 6

Labor Force Participation Rate

Answer 6

Labor force formula/working age population formula*100

Question 7

Employment to Population Ratio

Answer 7

employed/working age population formula*100

Question 8

percent change in nominal GDP

Answer 8

New Nominal income- old nominal income*100

Question 9

Percent change in real GDP

Answer 9

?

Question 10

Percent change in price level

Answer 10

(new price index- old price index)old price index*100

Question 11

GDP income approach

net domestic income at market prices

Answer 11

?