Test your basic knowledge |

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






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






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






4. All investment spending by government and business firms






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






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






7. Temporary and associated with turnover in the labor market






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






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






10. Cost of living allowance






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






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






13. 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






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






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






16. Recurrent ups and downs of economic activity






17. The average of all prices is falling






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






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

Warning: Invalid argument supplied for foreach() in /var/www/html/basicversity.com/show_quiz.php on line 183


20. Output sacrificed due to unemployment






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






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






23. Monetary






24. Frictional + structural unemployment






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






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






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






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






29. 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






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






31. Consumption - investment - government - and net exports






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






33. 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.






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






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






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






37. 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






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






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






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






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






42. 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






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






44. The sale of goods and services to households






45. Inflation caused by excess demand in the economy






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






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






48. GDP = C + Ig + G + Xn






49. Personal income less income taxes






50. Maximum output of business cycle