Econ G9 Q3

What is the indicator used to summarize economic transactions in the circular flow diagram?

• Gross Domestic Product

• Gross National Income

• Circular Flow of Economy

• Market Value

Which of the following is portrayed as owners of resources or factors of production in the circular flow diagram?

• Household

• Firm

• Foreigners

• Government

What is the difference between Gross Domestic Product (GDP) and Gross National Income (GNI)?

• GDP refers to the value of the production regardless of who makes the goods and services, while GNI refers to the value of the production regardless of where the output was made.

• GDP is used as an indicator of the overall output, while GNI is used as an indicator of the overall income.

• GDP is calculated using the expenditure approach, while GNI is calculated using the income approach.

• GDP includes the values of final goods produced by an economy, while GNI includes the values of final goods produced by a country.

Which approach for measuring GDP involves adding up the spending on final goods and services?

• Income Approach

• Value Added Approach

• Expenditure Approach

• Market Value Approach

What is the Net Primary Income (NPI) in the context of Gross National Income (GNI)?

• The difference between the earnings of Filipinos from activities in the Philippines and the earnings of foreigners from activities in other countries.

• The total earnings of Filipinos from activities in the Philippines.

• The difference between the earnings of Filipinos from activities in other countries and the earnings of foreigners from activities in the Philippines.

• The total earnings of foreigners from activities in the Philippines.

Which of the following is an indicator of the health of the economy of a country?

• Temperature

• Vitals

• Height and Weight

• Price Indicators

In the circular flow diagram, who purchases or hires resources from households in order to produce goods and services?

• Firm

• Household

• Government

• Foreigners

What is the market value of a good?

• The total cost incurred in producing the good.

• The total revenue generated from selling the good.

• The price of the good multiplied by its quantity.

• The quantity of the good produced in the market.

Which of the following is excluded in GDP to avoid double-counting?

• Imports

• Services

• Final goods

• Intermediate goods

What is the value added approach for measuring GDP based on?

• The total revenue generated by the firms.

• The total cost incurred in production.

• The total profit earned by the firms.

• The value added of the different firms or activities in an economy.