Measuring Economic Performance

Front

Which of the following would NOT be included in the GDP? investment spending by a business, consumer spending, government spending, paper/financial transactions

Back

paper/financial transactions

Front

Which of the following is an example of an intermediate good? Options: the purchase of leather to make shoes, the purchase of a new radio for your car, the purchase of a new car, the purchase of a new lawnmower

Back

the purchase of leather to make shoes

Front

The goal of the government and the American people is that GDP...

Back

grows steadily.

Front

The single best measure of the overall performance of the American economy and our standard of living is...

Back

real GDP.

Front

Nominal GDP is the current dollar value of the nation's output with no adjustment for inflation.

Back

True

Front

CPI stands for which of the following?

Back

Consumer Price Index

Front

The Consumer Price Index (CPI) measures changes in prices of consumer goods before they reach the retail level. True or False?

Back

False

Front

A construction worker cannot work because of winter snowstorm. He is...

Back

seasonally unemployed.

Front

Frictional unemployment means that the worker's skills do not match the jobs available in the economy. Workers must retrain, and learn new skills. True or False?

Back

False

Front

Cyclical unemployment occurs when jobs gained and lost in connection with the business cycle (during recession/contraction jobs are lost, during expansion jobs are regained). True or False?

Back

True