WorksheetsQuiz 1 : Unit 1
Total questions: 22
Worksheet time: 11mins
Which of the following is not a component of Gross Domestic Product (GDP)?
Government Spending
Net Exports
Savings
Consumption
Which of the following is a component of Gross Domestic Product (GDP)?
Imports
Interest payments on government debt
Transfer payments from the government
All of the above
Which of the following is not included in National Income (NI)?
Corporate profits
Interest income
Rental income
Depreciation
Which of the following is an example of double counting?
Counting the value of a car both when it is sold and when it is resold later
Counting the value of a car both when it is produced and when it is sold
Counting the value of a car both when it is produced and when it is scrapped
None of the above
Which of the following is a measure of the total income earned by a country's residents and businesses, regardless of where the production takes place?
Gross Domestic Product (GDP)
Gross National Product (GNP)
NFIA
Personal Income (PI)
Which of the following is an example of a transfer payment?
Social Security benefits
Wages earned by a factory worker
Profits earned by a corporation
Interest earned on a bank account
Which of the following is a measure of the value of all final goods and services produced within a country's borders in a given period of time?
Gross Domestic Product (GDP)
Gross National Product (GNP)
National Income (NI)
Personal Income (PI)
Which of the following is not a method for calculating GDP?
The expenditure approach
The income approach
The value-added approach
The employment approach
Which of the following is not a factor of production?
Labor
Capital
Money
Land
Which of the following is not a leak from the circular flow of income?
Savings
Investment
Taxes
Imports
Which of the following best describes the role of the financial sector in the circular flow of income?
It facilitates the flow of goods and services between households and firms.
It regulates the amount of money in circulation through monetary policy.
It provides a means for households to save and invest their money.
It determines the prices of goods and services in the economy.
Which of the following is a measure of inflation?
Real GDP
Nominal GDP
Unemployment rate
Output
Which of the following is not included in national income?
Wages and salaries
Interest income
Rent income
Transfer payments
Which of the following is a component of GDP?
Depreciation
Net exports
Transfer payments
Government transfers
Which of the following is an example of an intermediate good?
A car produced by a manufacturer
A tire produced by a tire manufacturer
A used car sold by a dealership
A car purchased by a consumer
The income approach to calculating national income includes which of the following?
Wages and salaries
Profits and dividends
Interest and rent
All of the above
The expenditure approach to calculating national income includes which of the following?
Consumption
Investment
Government spending
All of the above
The production approach to calculating national income includes which of the following?
The value of all goods and services produced
The value of all intermediate goods
The value of all final goods and services
Both b and c
Which of the following is an example of an intermediate good in the production approach to calculating national income?
A loaf of bread sold at a bakery
A car purchased by a family
Steel used in the production of cars
A movie ticket sold to a consumer
The reduction in the value of Plant and Machinery during the process of manufacturing is known as
Net National Product
Gross Domestic Product
Depreciation
Consumption
Real GDP is measured in ________ prices while nominal GDP is measured in ________ prices.
b.c.;
foreign; domestic
current year; base year
domestic, foreign
base year, current year
An economy that interacts with other economies is known as
an export economy.
an open economy
an import economy.
a closed economy
