Reference no: EM133080255
1-Which of the following goods would be included in the calculation of gross domestic product? Select the two correct answers.
- Notebooks sold to students.
- Chemicals sold to pharmaceutical developers.
- Lumber sold to construction firms.
- Steel sold to an automobile manufacturer.
- French fries sold to customers at a restaurant.
2-Which of the following would be counted in the investment component of this year's GDP?
- The market value of all finished goods purchased this year.
- The market value of new factories built this year.
- The market value of all stock purchases for the year
- The total quantity of savings account deposits made this year.
3-If a country is maintaining a healthy amount of growth, which of the following accurately describes the behavior of real GDP over time?
- Real GDP fluctuates but follows an upward-sloping trend line.
- Real GDP does not fluctuate if growth is occurring.
- Real GDP fluctuates but follows a horizontal trend line.
- Real GDP fluctuates but follows a downward-sloping trend line.
4- Given a GDP deflator of 120 and a Nominal GDP of 7.8 billion dollars, calculate Real GDP.
- 6.5 billion dollars
- 6.6 billion dollars
- 9 billion dollars
- 9.36 billion dollars
5- Use the table to answer the question.
- Total Population1,000
- Total Population Over 16 Years of Age800
- Total Labor Force600
- Total Employment500
The table above gives population and employment numbers for a hypothetical country. What is the unemployment rate in this country? Round your answer to the nearest whole percent if necessary.
6-The CPI of a country in October is given to be 210. In November, the CPI rises to 220. What is the rate of inflation from October to November? Round your answer to the nearest tenth of a percent if necessary.
7-Which of the following will likely lead to cost-push inflation? Select the two correct answers.
- Consumers become more comfortable with debt, increasing their spending as they take on more loans.
- Exports increase dramatically after a relative drop in price.
- An increase in the price of oil has reduced supply of all goods and services that use oil as an input.
- A tornado destroys factories and lowers supply levels throughout the economy.
- An ongoing war causes government spending to nearly double in quantity.
8- Indicate whether each of the following is used in the calculation of the official poverty measure, the Supplemental Poverty Measure, or both.
- food costs
- housing costs
- clothing costs
- utilities costs
9-Which of the following policies might a government use to redistribute income from high-income earners to low-income earners?
- free and reduced school lunches
- prescription drug coverage
- negative income tax
- food stamps
10- Which of the following illustrate improvements in productivity? Select the two correct answers.
- After practicing at home, a dishwasher has doubled the number of dishes he can wash in a single shift.
- A nurse decides to work overtime, increasing the quantity of patient care services she is able to provide.
- A restaurant purchases more food ingredients, resulting in a larger quantity of meals available to customer
- After adopting a new typing strategy, a data scientist is able to provide more data services to clients.
- After hiring an additional employee, a factory manager has seen a large increase in factory output.
11- Which of the following represents an increase in labor productivity within a country?
- GDP decreased from 400 billion dollars to 200 billion dollars, while total labor hours decreased from 100 million to 50 million.
- GDP decreased from 400 billion dollars to 200 billion dollars while total labor hours decreased from 75 million year to 50 million
- GDP increased from 200 billion dollars to 400 billion while total labor hours increased from 50 million to 100 million.
- GDP increased from 200 billion dollars to 400 billion dollars, while total labor hours increased from 50 million to 75 million.
12-Formulate reasons as to why a recession might occur. Then, hypothesize how total economic output and prices will behave in the years following the recession.