Economics Unit 4 Review

Which of the following is NOT a function of money?

• Medium of Exchange.

• Store of Value.

• Measure of value.

• Measure of Inflation.

The general rise in price levels is called:

• Inflation

• GDP

• National Wealth

• Unemployment Rate.

Which of the following would be included in the unemployment rate?

• 15 year-old looking for a job at a local grocery store.

• An employed persons searching for another job due to pay.

• A stay at home mother not searching for a job.

• A 21-year-old unemployed college graduate actively searching for a job.

Expansionary periods of the business cycle are always characterized by:

• Low inflation

• GDP growth

• GDP stagnation

• High inflation

Observable fluctuations in the economy are observable in which economic model?

• Production Possibilities Curve.

• Supply and Demand Schedule.

• Business Cycle.

• Circular Flow Model.

The goal of economists is to:

• Reduce GDP

• Keep inflation stable

• Reduce inflation

• Promote economic stagnation

The dollar value of goods produced in an economy is known as:

• GDP

• Inflation

• National Wealth

• GDP per Capita

Contractionary periods in the business cycle are always characterized by:

• Reduced GDP

• High Inflation

• High GDP

• Home Purchases

Which of the following would be most useful in determining economic development in comparison for a nation’s population?

• GDP

• National Wealth

• Inflation

• GDP per Capita

Which of the following periods of the business cycle would characterize an economy with high inflation, increased GDP, and low unemployment?

• Expansionary

• Contractionary

• Recessionary

• Trough