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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. Cost of living allowance






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






3. Frictional + structural unemployment






4. 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.






5. Cyclical unemployment is at 0






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






7. Periodic and predictable economic changes






8. 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






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






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






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






12. 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)






13. Consumption - investment - government - and net exports






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






15. GDP = C + Ig + G + Xn






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






17. The sale of goods and services to households






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






19. Inflation caused by excess demand in the economy






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






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






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






23. 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






24. Personal income less income taxes






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






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






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






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






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






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






31. Maximum output of business cycle






32. 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






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






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






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






36. Temporary and associated with turnover in the labor market






37. Output sacrificed due to unemployment






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






39. The average of all prices is falling






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






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






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






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






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






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






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






47. Recurrent ups and downs of economic activity






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






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