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






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






3. Periodic and predictable economic changes






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


5. 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






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






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






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






9. Cyclical unemployment is at 0






10. Temporary and associated with turnover in the labor market






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






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






13. 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.






14. Inflation caused by excess demand in the economy






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






16. Personal income less income taxes






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






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






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






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






21. 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






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






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






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






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






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






27. Recurrent ups and downs of economic activity






28. Consumption - investment - government - and net exports






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






30. The average of all prices is falling






31. Cost of living allowance






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






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






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






35. The sale of goods and services to households






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






37. Output sacrificed due to unemployment






38. All investment spending by government and business firms






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






40. Maximum output of business cycle






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






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






43. Monetary






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






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






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






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






48. 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






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






50. 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