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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. 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






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






3. Output sacrificed due to unemployment






4. 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






5. 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






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






7. Cyclical unemployment is at 0






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






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






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






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






12. Frictional + structural unemployment






13. Periodic and predictable economic changes






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






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






16. Cost of living allowance






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






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






19. Consumption - investment - government - and net exports






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






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






22. Personal income less income taxes






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






24. 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.






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






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






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






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






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






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






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






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






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






34. GDP = C + Ig + G + Xn






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






36. The average of all prices is falling






37. Temporary and associated with turnover in the labor market






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






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






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






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






42. 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






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






45. The sale of goods and services to households






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






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






48. Inflation caused by excess demand in the economy






49. All investment spending by government and business firms






50. Monetary