WorksheetsMacroeconomics and GDP Quiz
Total questions: 15
Worksheet time: 8mins
Which of the following is NOT included in GDP?
Buying groceries at the local market
Government spending to fix the roads
Financial transactions such as trading of stocks and bonds
Spending during your spring break trip to Florida
What does Real GDP measure?
The total output produced annually within a country's borders
The total output produced annually within a country's borders, adjusted for population growth
The total output produced annually within a country's borders, adjusted for price changes
The total output produced annually within a country's borders, adjusted for income differences
Ethan, Mason, and Aria are playing a game of 'Economy Whiz'. Ethan throws a question, 'What would be the rate of economic growth if the Real GDP increased from $18.78 trillion to $19.22 trillion?' Can you help Mason and Aria answer this?
4.34%
1.34%
3.34%
2.34%
Imagine Bert and Ernie are playing a game of 'Business Cycle Monopoly'. They land on a phase where there is high unemployment and barely positive growth. Which phase of the business cycle does this scenario best describe?
Peak
Recession
Trough
Recovery
In which category would the value of an iPhone made in China appear?
In both U.S. and China's GDP
In China's GNP
In U.S. GNP
In U.S. GDP
Zoe, Sophia, and Ava are playing a game of 'Economy Whiz'. Zoe draws a card and reads out the question, 'Which variable constitutes the largest portion of GDP using the expenditure approach?' Can you help them answer?
Investment
Government spending
Net exports
Consumption
One key idea in national income accounting is that every dollar you spend will eventually end up as someone else's
expenditure
income
savings
responsibility
Using the expenditures approach, the equation to calculate GDP is
C + I + G + (M-X)
C + I + G + NX
C + I = G + NX
C + I + G
Imagine Benjamin, Luna, and Mia are running a small startup. They decide to buy a new computer to help manage their business. Where would this purchase be counted in the GDP equation?
C
I
"I" and also possibly "M," if the computer was made in another country
"I" and also possibly "M" if the computer was made in the U.S.
What does it mean to have a trade deficit?
That a country is exporting more than it imports
That a country is importing more than it exports
That a country's imports and exports are equal to each other
Which variable will give you a more accurate view of the standard of living within a certain country?
GDP
GDP per capita
Which of the following is NOT a problem with GDP?
It does not consider environmental quality
It does not address income inequality
It does not measure production outside of the U.S.
It does not include work that occurs outside of the market
Imagine Kai, Evelyn, and Hannah are having a debate about the U.S. economy. Kai thinks the informal market makes up 5% of the overall economy, Evelyn thinks it's 8%, and Hannah believes it's 11%. Who do you think is correct?
Kai (5 %)
Evelyn (8 %)
Hannah (11 %)
None of them (15 %)
How is measuring "well-being" different from measuring GDP?
GDP focuses solely on production while "well-being" looks at how well people are actually doing
GDP and "well-being" both focus solely on production within an economy
GDP focuses solely on production while "well-being" focuses solely on life expectancy
Imagine Maya, Sophia, and Aria are having a debate. They are discussing why GDP per capita might not be the perfect way to measure an individual's standard of living. Can you help them understand?
Maya argues that GDP per capita IS a perfect way of measuring individual standard of living
Sophia suggests that GDP per capita is an average, so it might not reflect everyone's living standards accurately
Aria thinks that GDP per capita does not include children in the calculation
They also consider the point that GDP per capita does not include retired people in the calculation
