Unit 4 - Measures of Economic Progress

If you are considered a part of the "labor force" you must be all of the following EXCEPT

• above 16 years old

• able and willing to work

• not in the military, a full-time student, or retired

• a college graduate

What is macroeconomics?

• the study of choices of individuals and businesses

• the study of the economy as a whole

• the study of a country's politics

• the study of small-scale economic decisions

Which of the following is NOT one of the three major economic goals?

• promote stable growth

• keep unemployment low

• develop strong tariffs

• limit inflation

What does GDP measure?

• inflation

• economic growth

• unemployment rate

• supply and demand

Which of the following is NOT counted in a country's GDP?

• government spending

• purchases of final goods & services

• business investments

• non-market or household items

What is GDP per capita?

• the ratio of GDP per capital city in a nation

• the GDP of one nation compared to its neighbors

• GDP divided by population

• GDP adjusted for inflation

What does GDP per capita attempt to measure?

• how many people live in the nation's capital

• the difference in GDP from year to year

• a nation's standard of living

• the inflation rate

Which of the following is an example of an intermediate good?

• a new paint job done by a local body shop

• a used car purchased on Craigslist

• a brand new car purchased at a local car dealership

• the stock radio and tires on Mrs. Jamell's new Tesla Model X

True or false? The business cycle goes up and down like a roller coaster over time. In the business cycle, there are times of expansion and times of contraction.

• True

• False

A recession is 6 months of __________ GDP.

• growing

• decline in