GDP

The value of the output of all final goods and services produced within a country in a year.

• total ouput
• Gross Domestic Product
• national income
• net domestic product

What type of GDP uses a base year's prices in order to make fair comparisons?

• GDP per capita
• Real GDP
• Nominal GDP

The trade in exotic animals being illegally sold as pets is a multi-billion-dollar-a-year industry.  Is this included in GDP?

• Yes - Consumer spending
• Yes - Government Spending
• No - Underground Economy 
• No - Non-market activity 

Expectant parents buy supplies for the nursery.  Would this be included in GDP? 

• Yes - Consumer Spending
• Yes - Investment 
• No - Intermediate goods
• No - Non-market activity

The federal government is expected to spend $3.95 trillion this year.  Will this be counted in GDP?

• YES
• NO

Lauren coaches softball and gets paid in cash each week.  Is this included in GDP?

• Yes - Consumer Spending
• Yes - Investment 
• No - Underground Economy
• No - Purely financial transaction 

Aly spends $400 on used textbooks at the beginning of the semester in college.  Is this included in the GDP?

• YES
• NO

GDP is calculated by

• adding up the cost of goods used in producing the item
• subtracting all costs from total revenue
• adding consumption + investment +government spending+ (exports sold - imports bought)

• A = Recession
• A = Peak/Boom
• A = Expansion
• A = Trough

• D = Recovery/Expansion
• D = Recession
• D = Peak/Boom
• D = Trough