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






2. 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






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






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






5. Personal income less income taxes






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






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






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






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






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






11. 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






12. Periodic and predictable economic changes






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






14. Cost of living allowance






15. The sale of goods and services to households






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






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






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






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






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






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






23. Consumption - investment - government - and net exports






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






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






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






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






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






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






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






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






32. Monetary






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






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






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






36. The average of all prices is falling






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






38. 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.






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






40. Cyclical unemployment is at 0






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






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






43. Inflation caused by excess demand in the economy






44. Temporary and associated with turnover in the labor market






45. 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






46. Output sacrificed due to unemployment






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






48. GDP = C + Ig + G + Xn






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






50. All investment spending by government and business firms