Macroeconomics: GDP, Inflation, Business Cycle

The total value of all final goods and services produced in a country in a given year.

• Gross Domestic Product

• Consumer Price Index

• Inflation

• Unemployment

A price index determined by measuring the price of a standard group of goods meant to represent the market basket of a typical urban consumer.

• Gross Domestic Product

• Consumer Price Index

• Unemployment

• Inflation

A general increase in prices across an economy.

• Gross Domestic Product

• Consumer Price Index

• Unemployment

• Inflation

A period of macroeconomic expansion or growth, followed by a period of contraction, or decline.

• Business Cycle

• Circular Flow

• Equilibrium

• GDP

Which of the following would be INCLUDED when calculating the GDP for the U.S.?

• Toys that Wal-Mart has imported from their factories in China

• A used car bought from Frontier Motors

• Getting $20 from your mom for mowing the lawn

• A Tesla car that has been manufactured in California

Real GDP is

• GDP at the current prices

• GDP that has been adjusted for inflation

• A measure of the total production of goods in other countries

• The same thing as nominal GDP

A general rise in the price level of products is known as:

• Hyperinflation

• Cost-Push phenomenon

• Inflation

• Deflation

What does point #1 represent?

• Trough

• Peak

• Contraction/Recession

• Growth/Expansion

What does point #2 represent?

• Trough

• Peak

• Contraction/Recession

• Growth/Expansion

What does point #3 represent?

• Trough

• Peak

• Contraction/Recession

• Growth/Expansion