Economic Indicators

What does the Unemployment Rate measure?

• Average salary of employed individuals

• Number of people in the labor force

• Number of job vacancies

• Percentage of unemployed labor force

An economic indicator shows

• how many times families visit the grocery store per week

• the health of the economy

• how much students like their school

• how many people like their jobs

Which of the following in not an economic indicator?

• Temperature

• GDP

• Inflation Rate

• Unemployment Rate

Which of the following is a cause of inflation?

• Decrease in consumer spending

• Decrease in the money supply

• Increase in the money supply

• Increase in interest rates

What is the Inflation Rate?

• The inflation rate is the percentage change in the general price level of goods and services over a period of time.

• The inflation rate is the percentage change in the unemployment rate over a period of time.

• The inflation rate is the percentage change in the stock market index over a period of time.

• The inflation rate is the percentage change in the exchange rate of a currency over a period of time.

What is Gross Domestic Product?

• The total value of all goods and services exported from a country in a specific time period.

• The total value of all goods and services imported into a country in a specific time period.

• The total value of all goods and services consumed by a country's population in a specific time period.

• The total value of all goods and services produced within a country's borders in a specific time period.

What is the formula to calculate GDP?

• GDP = C + I - G + (X-M)

• GDP = C + I + G + (X-M)

• GDP = C - I + G + (X-M)

• GDP = C + I + G + (X+M)

Which economic indicator measures the overall health of the economy?

• Unemployment Rate

• Gross Domestic Product (GDP)

• Consumer Price Index (CPI)

• Stock Market Index

What is a recession?

• depression

• a decline in economic activity for two quarters (6 months)

• an increase in the economy

• 1 month of increase in GDP

Which of the following is not considered when calculating the Unemployment Rate?

• Number of employed workers

• Number of self-employed workers

• Number of part-time workers

• Number of discouraged workers