Kuis Ekonomi Makro

What effect does inflation have on purchasing power?

• It decreases purchasing power

• It has no effect on purchasing power

• It increases purchasing power

• It stabilizes purchasing power

What does the Consumer Price Index (CPI) measure?

• Stability of the labor market

• Increase in worker wages

• Changes in the prices of goods produced

• Changes in the prices of goods and services purchased by households

What is the focus of the GDP Deflator?

• Only household goods and services

• Only goods produced abroad

• All goods and services in the economy

• Only imported goods

What is the advantage of CPI?

• Measures price changes over time

• Fairly assesses all goods and services

• Provides a clear picture of purchasing power

• Only focuses on local goods

How does the GDP Deflator differ from the Consumer Price Index (CPI)?

• It focuses solely on imported goods

• It is calculated monthly

• It measures price changes for all goods and services produced in the economy

• It includes only consumer goods

Which one is not the reason that CPI may overstate inflation?

• introduction of the new goods

• unmeasured changes in quality

• Policy bias

• Substiution bias

What is the primary purpose of the Consumer Price Index (CPI)?

• To track changes in consumer prices over time

• To evaluate government spending

• To measure economic growth

• To assess the unemployment rate

Which of the following is a limitation of the Consumer Price Index (CPI)?

• It includes all goods and services produced

• It is updated quarterly

• It does not account for changes in consumer behavior

• It measures only imported goods

What is the main difference between nominal GDP and real GDP?

• There is no difference between nominal GDP and real GDP

• Nominal GDP is adjusted for inflation, while real GDP is not

• Real GDP is calculated using current prices, while nominal GDP uses constant prices

• Nominal GDP reflects the value of goods and services at current prices, while real GDP adjusts for inflation

What is a common method used to calculate inflation?

• Using the Producer Price Index (PPI)

• Analyzing employment rates

• Calculating the change in GDP

• Measuring changes in the stock market