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






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






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


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






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






6. Output sacrificed due to unemployment






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






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






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






10. Periodic and predictable economic changes






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






12. Recurrent ups and downs of economic activity






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






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






15. 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






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






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






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






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






20. Cost of living allowance






21. 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)






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






23. Cyclical unemployment is at 0






24. The sale of goods and services to households






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






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






28. Maximum output of business cycle






29. Inflation caused by excess demand in the economy






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






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






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






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






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






35. Personal income less income taxes






36. 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






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






38. 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






39. Monetary






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






41. Temporary and associated with turnover in the labor market






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






43. Consumption - investment - government - and net exports






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






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






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






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






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






49. The average of all prices is falling






50. All investment spending by government and business firms