RAE Activity 2

Which of the following does NOT describe GDP?

• includes finished and unfinished products

• includes products made within Singapore borders.

• expressed in dollar amount

• reported each quarter and each year

How many quarters of negative GDP growth signal a recession?

• one quarter

• at least 3 consecutive quarters

• 2 consecutive quarters

• at least a full year (4 quarters)

Which of the following is a good range of growth for GDP?

• 0 - 1/2 %

• 2.2%

• 1-2%

• 2.5-5%

If I buy all the Girl Guides Cookies, how would my spending be classified?

• included in GDP under "investment"

• included in GDP under "consumption"

• excluded from GDP under "nonmarket transaction"

• excluded from GDP under "transfer payment"

If I buy a luxury bag in Paris during my holiday there, my purchase would be...

• Included in GDP as "imports"

• Included in GDP as "investment"

• Excluded from GDP as "not within borders"

• Excluded from GDP under "underground economy"

Which of the following represents the formula for the EXPENDITURE MODEL for GDP?

• C+I+G

• W-R+I-G

• W+R+I+P

• C+I+G+(X-M)

All construction work is counted as

• government spending

• foreign sector spending

• consumer spending

• investment spending