Sections 10-15 AP Macroeconomics

A country’s real gross domestic product is the annual value of all final goods and services that are

• produced in that country, adjusted for changes in the price level

• no

A lender will realize unexpected benefit when the

• actual inflation rate is lower than the anticipated inflation rate

• no

A nation’s unemployment rate is the ratio of the number of unemployed seeking employment to the nation’s

• labor force

• no

A short-run increase in national income could be caused by a decrease in which of the following?

• Imports

• no

Based on the economic figures in the table above, what is the value of gross domestic product, in billions of dollars?

• $4,500

• no

Which of the following will happen if the actual inflation rate is greater than the expected inflation rate?

• Borrowers of fixed interest rate loans will be better off.

• no

An increase in inventories will increase which component of gross domestic product?

• investment expenditures

• no

An increase in the labor force participation rate will

• make it more difficult to reduce unemployment

• no

An increase in the number of discouraged workers causes the unemployment rate to

• decrease along with the labor-force participation rate

• no

An increase in the number of which of the following will lead to an increase in the unemployment rate?

• Persons quitting part-time jobs to look for full-time ones

• no