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






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






3. Those that are used to produce other goods that will eventually be sold (miller sells flour to a baker); not counted in GDP






4. All investment spending by government and business firms






5. Recurrent ups and downs of economic activity






6. 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)






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






8. Cyclical unemployment is at 0






9. Personal income less income taxes






10. (1) final purchases of machinery and equipment by governments and business; (2) all construction; and (3) changes in inventories






11. Output sacrificed due to unemployment






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






13. Frictional + structural unemployment






14. 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.






15. (base year basket valued at current year prices/base year basket valued at base year prices) x 100






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






17. All people who are either employed or unemployed - but excludes people who are institutionalized or in the military






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






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






20. The average of all prices is falling






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






22. Consumption - investment - government - and net exports






23. 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






24. Wages - represents monies earned by labor - including pensions - workman's compensation - and insurance






25. The sale of goods and services to households






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






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






28. Measures national income as the sum of the incomes received by productive resources in the economy; also called Gross Domestic Income (GDI)






29. GDP = C + Ig + G + Xn






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






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






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






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






34. Maximum output of business cycle






35. Inflation caused by excess demand in the economy






36. 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






37. The sale of a finished good or product directly to a consumer (baker sells bread to customer); counted in GDP






38. Periodic and predictable economic changes






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






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






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






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






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






44. 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






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






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






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






48. Cost of living allowance






49. 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






50. Monetary