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Nominal, Real & GDP Deflator

Total questions: 17

Worksheet time: 18mins

Name
Class
Date
1.

The Gross Domestic Product measured in current prices describes what?

a)

Real GDP

b)

Current GDP

c)

Nominal GDP

d)

Total GDP

2.

How do countries use real GDP to calculate growth?

a)

They calculate the % change in real GDP from one period to the next

b)

They calculate the difference in GDP from the past two calendar years

c)

They calculate the sum of GDP from the past two calendar years

d)

They compare percentages to other countries and calculate the country's ranking

3.

Real GDP is obtained by

a)

Nominal GDP minus GDP deflator.

b)

Nominal GDP divided by GDP deflator multiplied by 100.

c)

Nominal GDP multiplied by price level.

d)

Nominal GDP divided by CPI.

4.

According to the data above, in which year was the real gross domestic product (GDP) the largest?


[2 Minutes for this question]

a)

1980

b)

1990

c)

2000

d)

2010

e)

2015

5.

nominal GDP is same as

a)

real GNP

b)

GNP less net factor income from abroad

c)

GDP at constant prices

d)

GDP at current prices

6.

real GDP is same as

a)

nominal GNP

b)

GDP at current prices

c)

GDP at constant prices

d)

GNP less net factor income from abroad

7.

Real GDP evaluates _____ production at _____ prices.

a)

current; past

b)

past; current

c)

past; past

d)

current; current

8.

What does this calculate?

(Nominal GDP ÷ real GDP) x 100

a)

Real GDP

b)

The unemployment rate

c)

GDP

d)

The GDP deflator

9.

If the GDP deflator is equal to 105, it means that...

a)

GDP has decreased 5 percent

b)

the inflation rate is 5 percent

c)

GDP has increased 105 percent

d)

the inflation rate is 105 percent

10.

What is GDP divided by the size of the population?

a)

Nominal GDP

b)

GDP per capita

c)

The labor force participation rate

d)

GDP deflator

11.

What is the total value of all final goods and services produced in the economy calculated using the prices of a selected base year?

a)

Nominal GDP

b)

Real GDP per capita

c)

Real GDP

d)

GDP per capita

12.

Which of the following is the best measurement of economic growth?

a)

Nominal GDP

b)

Real GDP

c)

GDP per capita

d)

Real GDP per capita

13.

Built new hospitals and roads in Sabah belong in which part of the GDP formula?

GDP = C+I+G+(X-M)

a)

Consumption Expenditures

b)

Investment Expenditures

c)

Government Expenditures

d)

Net Imports

14.

Each individual under the B40 group in Sandakan, Sabah can receive up to RM300 a month on food stamps. Is this included in government spending?

a)

Yes - Government spending

b)

Yes - Transfer payment

c)

No - Intermediate Goods

d)

No - Transfer payment

15.
High levels of GDP per capita indicate...
a)
Higher levels of happiness 
b)
Higher standard of living
c)
Equal levels of wealth 
d)
Self-sufficient communities
16.
What type of GDP is calculated with the current year's prices?
a)
Nominal GDP
b)
Real GDP
c)
GDP per capita
17.
The Income Approach of Calculating GDP includes...
a)
All spending on final products in the year.
b)
All Income made from selling all final goods.
c)
All costs on all products.
d)
The ammount of people involved in production.