Economics - Economic Indicators & Business Cycle

All final goods and services that make up GDP can be expressed in the form:

• GDP = C + I - G + (X + M).
• GDP = C + I + G + (X + M).
• GDP = C + I + G + (X - M).
• GDP = C + I + (X - M).

What is the definition for GDP?

• The market value of all final goods and services produced in a nation during a period of time, usually a year.

• The increase of general prices over time.

• When people do not have jobs and are actively looking for one.

What is the definition for inflation?

• The market value of all final goods and services produced in a nation during a period of time, usually a year.

• The increase of general prices over time.

• When people do not have jobs and are actively looking for one.

What is the definition for unemployment?

• The market value of all final goods and services produced in a nation during a period of time, usually a year.

• The increase of general prices over time.

• When people do not have jobs and are actively looking for one.

What type of Unemployment is represented here?

Scenario: The economy is on the decline causing businesses to lay off employees

• Cyclical

• Seasonal

• Structural

• Frictional

What type of Unemployment is represented here?

Scenario: Businesses purchase more technology for the sole purpose of laying off employees

• Cyclical

• Seasonal

• Structural

• Frictional

What type of Unemployment is represented here?

Scenario: You are let go from Ritas because the Spring and Summer seasons have passed.

• Cyclical

• Seasonal

• Structural

• Frictional

Over half of the spending of the _______________ include programs like Medicare, Social Security & Unemployment.

• Household Consumption/ C

• Business Investment/ I

• Government Purchases/ G

• Net Exports/ NX

A company putting its money towards expanding its business. An example of this would be a construction company buying new trucks and other heavy equipment to improve production.

• Household Consumption/ C

• Business Investment/ I

• Government Purchases/ G

• Net Exports/ NX

The largest spending category of GDP. This picture is a break down of all the things consumers spend their money on.

• Household Consumption/ C

• Business Investment/ I

• Government Purchases/ G

• Net Exports/ NX