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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. Monetary






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






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






4. 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)






5. Frictional + structural unemployment






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






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






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






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






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






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






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






13. Inflation caused by excess demand in the economy






14. Cost of living allowance






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






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






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






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






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






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






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






22. Output sacrificed due to unemployment






23. 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






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






25. Consumption - investment - government - and net exports






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






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






28. The average of all prices is falling






29. 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






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






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






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. Periodic and predictable economic changes






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






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






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






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






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






39. 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.






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






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






42. GDP = C + Ig + G + Xn






43. All investment spending by government and business firms






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






45. Cyclical unemployment is at 0






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






47. Personal income less income taxes






48. 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






49. The sale of goods and services to households






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