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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 investment spending by government and business firms






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






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






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






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






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






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






8. Frictional + structural unemployment






9. Monetary






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






11. 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






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






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






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






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






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






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






18. 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






19. Cost of living allowance






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






21. The average of all prices is falling






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






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






24. Maximum output of business cycle






25. 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.






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






27. 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






28. Cyclical unemployment is at 0






29. The sale of goods and services to households






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






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






32. Temporary and associated with turnover in the labor market






33. Consumption - investment - government - and net exports






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






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






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






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






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






39. Periodic and predictable economic changes






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






41. 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






42. Output sacrificed due to unemployment






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






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






45. Personal income less income taxes






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






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






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






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






50. Inflation caused by excess demand in the economy