Week 1 Slay

Question 1

Micro Econ:
Macro Econ:

Answer 1

Micro: houses and firms
Macro: economy wide phenomena + inflation

Question 2

GDP

Answer 2

Total income + expenditure of everyone in the economy

Question 3

Income =

Answer 3

Expenditure
For every dollar buyer spends is a dollar a seller earns

Question 4

Factors of production

Answer 4

Labor
Land
Capital
Natural resources

Question 5

Factors of payments

Answer 5

Payments to factors of production

Question 6

Gross national product

Answer 6

Total value of goods produced by residence, regardless of were they were produced

Question 7

Y
C
I
G
NX

Answer 7

Y = gdp
C = consumption
I = investment
G = government purchases
NX = net exports (exports - imports)

Question 8

Nominal GDP

Answer 8

No inflation, current prices

Question 9

Real gdp

Answer 9

Constant prices, base year

Question 10

Nominal equation

Answer 10

Price x quantity

Question 11

Real equation

Answer 11

Price base yr x quantity

Question 12

GDP deflator

Answer 12

(Nominal gdp / real gdp) x 100

Question 13

GDP deflator explaination

Answer 13

Measure of the price change over time

Question 14

GDP per person

Answer 14

Income and expenditure of the average person in the economy

Question 15

Increase in gdp

Answer 15

Increase in standard of living

Question 16

Inflation means

Answer 16

Overall price is rising

Question 17

Inflation means

Answer 17

Overall price is rising

Question 18

Inflation rate is the

Answer 18

Percentage change in the price lvl from the previous period