Unit 3 Final Review

Front

Gross Domestic Product (GDP) refers to…

Back

the dollar value of all final goods and services produced within a country’s borders in one year

Front

Which of the following is considered a part of GDP? Consumer Spending, Transfer Payments, Stocks and bonds, Used products

Back

Consumer Spending

Front

Which of the following would be considered investment spending (I)?
Options:
Government buys the Army new tanks
Chinese goods sold in the United States
Two movies tickets for a night out with a friend
A new factory built in the United States

Back

A new factory built in the United States

Front

Which of the following is included in GDP?
The purchase of stocks on the NYSE,
An illegal sale of scalped tickets,
College students buy brand new textbooks,
A stay-at-home parent cleans their home

Back

College students buy brand new textbooks

Front

Which of the following is included in GDP?
Bobby pays $300,000 for a house built 15 years ago
Vivian, an accountant, completes her own tax forms
Carli pays $500 a month for rent
Shiontae receives Social Security, a transfer payment from the government

Back

Carli pays $500 a month for rent

Front

In the simplest circular-flow model, households supply __________ and demand ___________.

Back

labor; goods and services

Front

Unemployment refers to...

Back

Workers that are actively looking for work, but are not currently working

Front

Which of the following are considered unemployed?
Your retired grandparent
A college student who applied for a first job
A single parent looking for a second job
A prisoner serving a 20 year sentence

Back

A college student who applied for a first job

Front

Which of the following individuals is considered unemployed? A lawyer that sold his firm and is now looking for a job as a teacher, An electrician that is working part-time and is looking for a full-time job, A retired school teacher, An auto worker who has given up looking for a job

Back

A lawyer that sold his firm and is now looking for a job as a teacher

Front

Which of the following is the best example of structural unemployment?
Options:
New immigrants have a hard time finding jobs
Workers are laid off due to a recession
Workers are fired because they do not have the specific skills employers value
Workers enter the labor force because wages are increasing

Back

Workers are fired because they do not have the specific skills employers value