Macroeconomics Data

Which of the following BEST defines economic growth?

• An increase in nominal GDP

• An increase in the general price level

• A sustained increase in real GDP

• A reduction in the unemployment rate

Answer explanation

If a country’s GDP increased from $1.2 trillion to $1.5 trillion, what is the percentage growth rate?

• 25%

• 20%

• 15%

• 10%

Which is NOT a way to measure economic growth?

• Real GDP growth

• Per capita income

• Increase in national debt

• Increase in production output

If nominal GDP grows by 5% but inflation is 3%, how much is real GDP growth?

• 8%

• 2%

• 5%

• -3%

Which of the following is NOT a cause of economic growth?

• Technological advancements

• Increased labor productivity

• Higher unemployment

• Foreign direct investment

Which of the following statements is TRUE about economic growth?

• All economic growth is sustainable

• Real GDP is the same as nominal GDP

• Economic growth can lead to both benefits and costs

• High economic growth always leads to higher inflation

What is a negative consequence of rapid economic growth?

• Rising income inequality

• Lower tax revenues

• Higher unemployment

• Lower demand for goods and services

Which statement BEST defines unemployment?

• People who are not looking for work

• People actively seeking work but unable to find it

• Retired individuals

• Students not working

Which group is considered economically inactive?

• Part-time workers

• Full-time job seekers

• Stay-at-home parents

• Underemployed workers

If a country has 2 million unemployed people and a labor force of 20 million, what is the unemployment rate?

• 20%

• 5%

• 10%

• 15%