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CLEP Macroeconomics: Measurement Of Economic Performance

Subjects : clep, economics
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Output sacrificed due to unemployment






2. GDI = w + i + r + pi + misc






3. Consumption - investment - government - and net exports






4. All investment spending by government and business firms






5. For every 1% the actual unemployment rate exceeds the natural (frictional + structural) unemployment rate - a 2.5% GDP gap occurs


6. Government purchase of goods and services; does not include transfer payments and expenditures for servicing the national debt or investment goods






7. Phase of the business cycle where output and employment are at their lowest levels






8. The price index that puts all goods and services in the market basket; measures the overall price level change - not just a change in price of typical consumer goods






9. Calculate spending and income: what is spent on a product is received as income by those who contributed to the product's production. the spending amount and income amount should equal one another.






10. The number of dollars one receives as wages - rent - interest or profit






11. Measures GDP by adding up all that is spent by various consumers on this year's total output of final goods and services; also called gross national expenditure (GNE)






12. Income earned that is available to resource suppliers and others before payment of personal taxes






13. Those who are on ______ incomes are hurt most by inflation






14. Shows how money and goods and services flow between the various markets and players in the economy






15. Second-hand sales (goods not produced that year) and financial transactions (moving money from x to y); not counted in GDP






16. Phase of the business cycle which is characterized by a period of at least six months where there is a decline in total output - income and employment






17. All people living in a society who are of legal age to work






18. Allows us to keep tabs on the economic health of society and to develop policies that will improve that health






19. A basic accounting measure of total production of goods and services of the national economy in one year






20. Measures the prices of a fixed market basket of over 300 consumer goods and services purchased by the typical urban consumer






21. Measures the amount of goods and services one's money can buy; measures purchasing power






22. Maximum output of business cycle






23. The civilian labor force expressed as a percentage of the labor force population






24. A sustained rise in the general price level of an economy






25. Recurrent ups and downs of economic activity






26. Used to calculate how long it will take for prices to double; divide the number 70 by the annual inflation rate to find out how many years it will take for prices to double






27. Caused by the actions of people who have come to expect a certain amount of inflation in the economy






28. Results from a pattern of work that changes due to seasonal fluctuations in demand or due to changing weather conditions






29. Monetary






30. Output measured at current prices - and thus unadjusted figure for GDP






31. Temporary and associated with turnover in the labor market






32. Inflation arising from the supply or cost side of the economy






33. The percentage of unemployed workers in the civilian labor force






34. Output measured at base year prices - and thus adjusted






35. Total income earned by resource suppliers for their contributions to the production of the GNP






36. Excess unemployment caused because the economy deviates from the long run output potential of the economy






37. Results from laborers having a mismatched skill set with what is demanded by the current labor market






38. Cyclical unemployment is at 0






39. Income earned by the factors of production for their current contributions to production; total dollar value of all final goods and services produced for consumption in society during a particular time period






40. Personal income less income taxes






41. (1) wages - (2) rents - (3) profits - (4) interest - (5) misc






42. The average of all prices is falling






43. A person who is available for and looking for work - but has none






44. Frictional + structural unemployment






45. Cost of living allowance






46. Used for comparing the price of a specific market basket of goods and services in one particular year to the price in a base year






47. Periodic and predictable economic changes






48. Phase of the business cycle where output and employment begin to move toward full employment






49. The total net sales of goods sold abroad minus the total net spent on purchases from other countries






50. The sale of goods and services to households