1. GDP is defined as (Points : 1)
the market value of all goods and services produced and nonmarket activities that take place in a one-year time period.
the value of all capital goods produced in a given time period.
the final sales of goods and services produced in a given time period.
NNP less CCA.
the total value of consumer spending in a given time period.
Question 2. 2. Which of the following will NOT result in an increase in measured unemployment, ceteris paribus? (Points : 1)
an increase in the labor force participation rate
an increase in the number of discouraged workers
extending the period for which one can collect unemployment benefits
Question 3. 3. Policies to reduce fluctuations in output and employment are called (Points : 1)
Question 4. 4. A country is in a recession if (Points : 1)
nominal output declines for two successive quarters.
real output declines for two successive quarters.
unemployment rises in two successive quarters.
the price level falls in two successive quarters.
the Dow Jones Index declines by more than 10 percent.
Question 5. 5. Economic growth is the result of (Points : 1)
additional resources and advances in technology.
a decrease in the money supply.?
Question 6. 6. The turning points of the business cycle are called (Points : 1)
peaks and troughs.
expansions and contractions.
nadirs and zeniths.
peaks and valleys.
tops and bottoms.
Question 7. 7. All but one of the following will shift the aggregate demand curve to the right. (Points : 1)
changes in consumer wealth
changes in the size and composition of the population
changes in tastes
changes in production technology
Question 8. 8. Who is NOT a loser in inflation? (Points : 1)
people on fixed incomes
people who hold real assets
both people who hold real assets and the government
both people on fixed incomes and people who hold real assets
Question 9. 9. The existence of unemployment compensation most likely will cause
less unemployment. (Points : 1)
a shorter search time between jobs.
a reduction in the size of the labor force.
a lower full-time employment level.
a longer search time between jobs.
Question 10. 10. The labor force is composed of (Points : 1)
everyone over 16 years of age.
only those who are currently working.
those who are working and those who are seeking work.
all those between 16 and 65.
those who are working and those who have stopped looking for work.