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






2. 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






3. Maximum output of business cycle






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






5. 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)






6. All investment spending by government and business firms






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






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






9. Cyclical unemployment is at 0






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






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






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






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






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






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






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






17. Cost of living allowance






18. Temporary and associated with turnover in the labor market






19. Personal income less income taxes






20. Periodic and predictable economic changes






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






22. 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






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






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






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






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






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






28. Inflation caused by excess demand in the economy






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






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






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






34. The average of all prices is falling






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






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






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






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






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






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






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






42. 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






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






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






45. Recurrent ups and downs of economic activity






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






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






48. Output sacrificed due to unemployment






49. Consumption - investment - government - and net exports






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