Macroeconomics Review

Which area is NOT part of GDP:

• Consumer sector

• Business Sector

• Government Sector

• Private Sector

A Japanese car company makes a new sedan in Kentucky. Which country's GDP is this added to?

• U.S.

• Japan

• U.S. and Japan

• China

• no answer

what does GDP stand for:

Which of the following is NOT part of GDP:

• a new car that is sold

• a teacher working in the classroom

• a used TV on Craigslist

• no answer

What type of GDP is calculated with the current year's prices?

• Nominal GDP
• Real GDP
• GDP per capita

GDP is calculated by

• adding up the cost of goods used in producing the item
• subtracting all costs from total revenue
• adding consumption + investment +government spending+ (exports sold - imports bought)

What does Per Capita Mean?

• Per Household
• Per Object
• Per Worker
• Per Person

GDP per capita is found by dividing a country's GDP by it's

• population.

• average birth rates.

• number of households.

A higher GDP generally correlates to a(n) ___________ standard of living.

• higher

• lower

• unrelated

All of the following are excluded from GDP except

• non-market goods and services

• used goods

• environmental quality

• final goods and services