Measuring Econ Performance

If Jill lost her job because the company she works for has been losing money for the last three quarters, this is an example of

• Structural unemployment

• Cyclical unemployment

• Seasonal unemployment

• Frictional unemployment

Economist believe that unemployment level is

• overstated

• exact

• understated

• all structural

What does the CPI measure?

• Unemployment

• Price level

• A change in the price of heavy machinery

• Taxation

Which of the following situations would have a positive impact on GDP for the United States?

• An increase in the production of Canadian chairs

• A decrease in foreign trade

• An decrease in quotas

• An increase in domestic consumption spending

In the equation GDP =C+I+G + X, X stands for

• exports

• exports minus imports

• imports minus exports

• export taxes

Which of the following definitions best represent what intermediate goods are?

• goods used in the production of other goods

• goods that are not sold or exchanged in an economy

• goods that were sold in earlier years

• goods that are produced outside the country

Why is the official unemployment rate not an accurate assessment of unemployment?

• Because government spending is not taken into account.

• Discouraged workers are not accounted for.

• Structural employment never exists.

• Full employment is greater than the natural employment rate.

You are working at a supermarket bagging groceries buy you are unhappy about your wage so you quit and begin looking for a new job at a competing grocery store. What type of unemployment is this?

• Cyclical

• Structural

• Seasonal

• Frictional

Which of the following increases the nations' GDP

• Mr. Lane purchases a share of stock in an automobile company

• The government increases its domestic purchases of clothing for the military

• A soda company sells its soda from last year's inventory

• A father sells his water skis to his son

Which of the following individuals is classified as unemployed?

• A fifteen-year-old high school student who is looking for a babysitting job

• A laid-off computer programmer who had given up looking for a new job

• A parent who works in an after-school day care center 15 hours a week

• A recent college graduate who is looking for her first job