Theme 2 MACRO OBJ

Which of the following is NOT an injection into the circular flow of income?

• Exports

• Investment

• Government expenditure

• Savings

Which of the following is not a leakage or withdrawal from the circular flow of income?

• Savings

• Investment

• Imports

• Taxation

Which of the following is NOT a UK macroeconomic objective?

• Low/mild inflation

• economic growth

• reduction in inequality

• low unemployment

• low taxation

The main measure of economic growth is Gross Domestic Product. Which of the following is the most accurate definition of GDP?

• Total market value of a country's stock market

• Total market value of all goods/services produced in a country in a year

• Total market value of a country's housing market

• Total market value of all goods/services produced in a country in 6 months

• Total market value of all goods/services produced by a country including earnings from abroad in a year

In the second quarter of 2020 how much did the UK economy shrink by?

• 0.24%

• 2.4%

• 20.4%

• 200.4%

• 24.4%

Old MacDonald had a farm e-i e-i e-i-o and on that farm he had a pig e-i-e-i-e-i-o with an oink oink there and an oink oink there.........What does e-i-o stand for?

• expenditure=interest rates=output

• exchange rate=income=output

• expenditure=income=outsourcing

• expenditure=income=output

GDP per capita means GDP adjusted for........

• inflation

• population

• income inequality

• cost of living

• income earnings from abroad

GDP at constant prices and real GDP means GDP adjusted for?

• inflation

• population

• income distribution

• unemployment

• environmental degradation

One limitation of GDP per capita is that it does not account for........

• inequality

• output

• income

• expenditure

The rate of inflation in the UK as recorded in Nov 2020 was........

• 0.3%

• 3%

• 33%

• 13%

• -0.3%