Unit 3, 4, & 5 Review

Which economic indicator is used to measure a nation's economic output adjusted for inflation

• Nominal GDP

• Real GDP

• Consumer Price Index

• Unemployment Rate

Which economic indicator is used to measure the level of inflation in the nation

• Unemployment Rate

• Real GDP

• Nominal GDP

• Consumer Price Index (CPI)

Choose all of the following that are included in the labor force

• Discouraged workers

• Willing to work

• Able to work

• 16 years old or older

Which type of unemployment is caused by contractions in the business cycle?

• Frictional

• Structural

• Cyclical

• Seasonal

Which type of unemployment is when workers have left their old jobs and have not yet started/found new jobs?

• Frictional

• Structural

• Cyclical

• Seasonal

Which type of unemployment is caused by regular changes in the season

• Frictional

• Structural

• Cyclical

• Seasonal

Which type of unemployment is when technology advances and jobs are eliminated?

• Frictional

• Structural

• Cyclical

• Seasonal

What is the general increase in the level of prices?

• Deflation

• Inflation

• Rip-off

• Sale

What are the alternating expansion and contraction in the economy?

• Peak

• Trough

• The Business Cycle

• Expansion

In which phase of the business cycle does inflation increase and unemployment decrease?

• Expansion

• Peak

• Contraction

• Trough