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






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






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






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






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






6. 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






7. Inflation caused by excess demand in the economy






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






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






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






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






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 arising from the supply or cost side of the economy






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






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






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






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






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






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






20. 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)






21. Cyclical unemployment is at 0






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






23. 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.






24. Frictional + structural unemployment






25. Temporary and associated with turnover in the labor market






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






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






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






29. Cost of living allowance






30. Output sacrificed due to unemployment






31. 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






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






33. All investment spending by government and business firms






34. Personal income less income taxes






35. Monetary






36. 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






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. 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






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






40. The average of all prices is falling






41. Periodic and predictable economic changes






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






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






44. The sale of goods and services to households






45. Consumption - investment - government - and net exports






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






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






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






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






50. Recurrent ups and downs of economic activity