Macroeconomics Packet Questions
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP A accountant pays a tailor $175 to sew a suit for her
C
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP A family pays a contractor $150,000 for a house he built for them this year
C
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP You pay college tuition to attend college
C
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP You spend $10.00 to see a movie
C
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed A computer programmer is laid off because of a recession
C
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed Slumping sales lead to the cashier being laid off
C
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed Workers are laid off when the local manufacturing plant closes because the product made there isn't selling during a recession
C
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP You pay $800 a month to rent an apartment
C- it is a living service
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed A literacy editor leaves her job in NY to look for a new job in San Francisco
F
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed An individual refuses to work for minimum wage
F
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed an unemployed college graduate is looking for his first job
F
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP The government increase its defense expenditures buy $1,000,000,000
G
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP Consumer electronics corporation Apple Inc. builds a new factory in the United States
I
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP Ford Motor Company buys new auto-making robots
I
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP At the end of a year, a flour-milling firm finds that its inventories of grain and flour are $10,000 higher than its inventories at the beginning of the year
I- it is counted for because it is the year produced the item was produced that is accounted for in GDP
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed a college graduate works at a job that does not require a college education
N
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed an individual has been laid off during a recession and has been looking for work unsuccessfully for so long that he has finally given up actively seeking a job (note: this person is known as a discouraged worker)
N
The government makes a $300 Social Security payment to a retired person
NC- SS is not accounted for
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP A family pays $75,000 for a house built three years ago
NC- can't count bc it was not built this year
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP Parents work hard caring for their two children
NC- nothing is being produced
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP R.J Reynolds buys control of Nabisco
NC- nothing is being produced
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP You buy McDonald's stock for $1,000 in the stock market
NC- stock is not accounted for
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed A high school graduate lacks the skills necessary for a particular job
S
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed A skilled glass blower becomes unemployed when a new machine does her job faster
S
F- frictional unemployment C- cyclical unemployment S- structural unemployment N- someone who is not unemployed Advances in technology make the assembly line workers jobs obsolete
S
C- Consumption Spending I- investment spending G- government spending Xn- net exports NC- if it is not counted for as a part of GDP You buy a new Toyota that was made in Japan
Xn
Is a monthly check received by an economics student who has been granted a government scholarship counted as a part of GDP?
no because nothing is produced; transfer payment
Is a social security check from the government to a retired store clerk counted as a part of GDP?
no, SS is not accounted for in GDP
is a plumber's purchase of a two year old used truck counted for as a part of GDP?
no, has already been calculated
IS a Chevrolet's purchase of tires to put on the cars they are producing counted fora s a part of GDP?
no, intermediate good
is the services of a barber cutting his own hair counted for as a part of GDP?
no, no exchange; he did it to himself
is income received from the sale of Nike stock counted for as a part of GDP?
no, stocks do not count; nothing produced
is cashing a US government bond counted for as a part of GDP?
no, transfer payment
Is a farmer's purchase of a new tractor counted for as a part of GDP?
yes, final consumer
is a barber's income from cutting hair counted for as a part of GDP?
yes, final service
is the governments purchase of a new submarine for the Navy counted for as a part of GDP?
yes, gov. spending on a final good
