set 8

In 2015, U.S. GDP was almost

$18 trillion.

In the economy of Talikastan in 2015, consumption was $3000, exports were $1200, GDP was $6300, government purchases were $1300, and investment was $1500. What were Talikastan's imports in 2015?

$700

In the United States over the past century, real GDP per person has grown by about __________ percent per year

2 (or, more precisely, 1.77)

Table 24-4 The table below pertains to Studious, an economy in which the typical consumer's basket consists of 5 books and 10 calculators. Year Price of a Book Price of a Calculator 2012 $24 $9 2013 $30 $11 2014 $32 $12 97. Refer to Table 24-4. If 2014 is the base year, then the consumer price index was

75 in 2012, 92.8 in 2013, and 100 in 2014.

The nominal interest rate increases by 5 percent. What is the effect on investment?

Cannot be determined from the given information

In a closed economy taxes are $750 billion, government transfers are $400 billion, government expenditures are $500 billion, and investment is $400 billion. What are private saving, public saving and national saving?

Private saving is $550 billion, public saving is -$150 billion, and national saving is $400 billion.

In general, if a consumer good is produced domestically and consumed domestically, an increase in its price will have which of the following effects?

The consumer price index will increase relatively more than will the GDP deflator.

Some poor countries appear to be falling behind rather than catching up with rich countries. Which of the following could explain the failure of a poor country to catch up?

The poor country has poorly developed property rights.

Last year the imaginary nation of Panglossia had real GDP of 400 billion. This year it had real GDP of 472.5 billion. Which of the following changes in population is consistent with a 5 percent growth rate of real GDP per person over the last year?

The population increased from 80 million to 90 million.

When an American household purchases a bottle of Italian wine for $100,

U.S. consumption increases by $100, U.S. net exports decrease by $100, and U.S. GDP does not change.

Which of the following countries had the highest level of real GDP per person in 2014?

United States

Jim buys a $1000 bond from ABC Company. ABC Company uses the $1000 to purchase a new piece of machinery. Whose spending would be an act of investment in the language of macroeconomics?

only ABC Corporation's

A country reported nominal GDP of $200 billion in 2010 and $180 billion in 2009. It also reported a GDP deflator of 125 in 2010 and 105 in 2009. Between 2009 and 2010,

real output fell and the price level rose

Country A has real GDP per person of 250,000 while Country B has real GDP per person of 500,000. All else constant, Country A will eventually have a higher standard of living than Country B if

the level of saving per person is 5.000 in Country A and 7,500 in Country B.

During a certain year, the consumer price index increased from 120 to 132 and the purchasing power of a person's bank account increased by 4 percent. For that year,

the nominal interest rate was 14 percent.