GDP and economic indictors Quiz

What does microeconomics focus on?

• Historical economic data

• Major features of a country's economy

• Individual areas of economic activity

• Global economic trends

What is the branch of economics concerned with inflation, unemployment, and interest rates?

• Microeconomics

• Macroeconomics

• International economics

• Behavioral economics

How is GDP calculated?

• By counting all goods and services produced in a year

• By measuring only consumer spending

• By evaluating stock market performance

• By analyzing government debt levels

What are final goods and services in GDP calculation?

• Products in their final form

• Services provided by non-profit organizations

• Goods produced by government agencies

• Goods sold for the first time

Which category of spending includes all expenditures of individuals for final goods and services?

• Investment

• Consumption

• Net exports

• Government spending

What is the formula to calculate GDP?

• Y = C + I + G - X

• Y = C + I - G + X

• Y = C - I + G + X

• Y = C + I + G + X

What do leading economic indicators do?

• Rise or fall just before a major change in economic activity

• Predict long-term economic trends

• Change at about the same time as general economic activity

• Rise or fall after a change in economic activity

What does the earnings-and-cost approach measure?

• Money spent on goods and services

• Stock market performance

• Money received for the production of goods and services

• Government budget deficits

What do business and government planners base their decisions on?

• Expectations of future economic performance

• Historical economic data

• Global economic trends

• Consumer spending habits

What does a significant shift in GDP value indicate?

• Impact on international trade

• Change in government policies

• Affect on the stock market

• Movement in the economy