econ quizzes for exam
Consumption exp. 4000 Interest rent and profit 300 Investment 1000 Deprecation 400 Govt expenditure 1000 Net exports 200 The table gives data for a nation. What is the amount of the country's GDP? (B)
A. $5,800 billion. B. $6,200 billion C. $6,000 billion D. $6,900 billion E. $6,600 billion
Which of the following is NOT directly included in Canadian GDP? (A)
A. Gasoline purchased by a tour bus operator in Quebec. Your answer is correct. B. Bus tickets sold to tourists for a tour bus ride in Montreal. C. The sale of tickets to the Vancouver Oympics to U.S. citizens. D. The purchase of tickets to a Kanye West concert in Montreal. E. All of the items would be included in Canadian GDP.
Which of the following is an example of investment? (D)
A. Randy buying a BMW B.Mike buying an Apple iPad C.Ron buying stocks and bonds D.Continental buying Airbus planes
Which of the following is an example of an intermediate good or service? (C)
A. United buys Boeing aircrafts. B. Mike bought Puma shoes. C. Samsung buys compressors for manufacturing refrigerators. Your answer is correct. D. Sarah bought a Sony HDTV.
Structural unemployment includes people who become unemployed from (D)
A. changes in the business cycle. B. normal changes in the labor force. C. changes in the seasons. D. technological changes. Your answer is correct. E. going back to school.
Bill just graduated with his degree in economics. Through Career Services he submitted his resume to several companies and he will visit them during the next two weeks. Bill is considered...(E)
A. employed because he is visiting firms. B. cyclically unemployed. C. structurally unemployed. D. not in the labor force. E. frictionally unemployed.
According to the income approach to measuring GDP, the largest income category is (A)
A. wages. Your answer is correct. B. interest. C. profits. D. rent. E. consumption expenditure.
When Jamie purchases a classic 1968 Plymouth Cuda convertible from Shane, GDP (E)
A. increases, because the car is a durable good and increases consumption. B. increases, because the car is a durable good and increases investment. C. increases, because this expenditure decreases saving. D. does not change, because Jamie did not buy the car from a dealership. E. does not change, because the car was not produced this year. Your answer is correct.
An increase in the population _______ the real wage rate and _______ the equilibrium quantity of labor. Potential GDP _______ and potential GDP per hour of labor
decrease, increase increase, decrease
The supply of loanable funds is influenced by _______.
expected future income, and the higher a household's expected future income, the smaller is its saving today
The calculation of GDP excludes the value of... (C)
government expenditure on office supplies. B. businesses' purchase of new machine tools. C. a family member painting the family home. Your answer is correct. D. expenditure on durable goods. E. households' purchases of shampoo.
An increase in labor productivity _______ potential GDP and _______ potential GDP per hour of labor. An increase in labor productivity _______ the real wage rate and _______ the equilibrium quantity of labor.
increase, increase increase, increase
Three main types of financial capital
loan markets bond markets and stock markets
Saving is the amount of income that is _____ in net taxes or spent on _____ goods and services.
not paid, consumption
Wealth is the value of all things people
own
The crowding-out effect is the tendency for a government budget deficit to _______ the real interest rate and decrease _______. A government budget deficit _______ the real interest rate because _______.
raise, investment raises, the demand of loanable funds increases
