Exam 2: The Data of Microeconomics

The GDP deflator is equal to:

The statistic economists use to measure the value of economic output is:

The economic statistic used to measure the level of prices is:

Real GDP means the value of goods and services is measured in _____ prices.

In principle, the GDP accounts shouldóbut do notóhave an imputation for:

The CPI is a:

If total investment measured in billions of current dollars equals $741, business fixed investment is $524, and residential fixed investment is $222, then inventory investment is:

In 2017, the real GDP of Canada totalled about:

Exhibit: Totals Recorded for Canada In the exhibit above, what were the approximate ratios of consumption, investment, and government purchases to the GDP?

All of the following are flows variables except:

Assume that apples cost $0.50 in 2012 and $1 in 2019, whereas oranges cost $1 in 2012 and $1.50 in 2019. If 4 apples were produced in 2012 and 5 in 2019, whereas 3 oranges were produced in 2012 and 4 in 2019, then real GDP (in 2012 prices) in 2019 was:

In the national income accounts, all of the following are classified as government purchases except:

The labour force equals the:

One member of Parliament criticizes the Canadian government for making an inadequate effort to stimulate the economy based on data from the Survey of Employment, Payroll, and Hours which shows that the number of jobs in the Canadian economy has fallen. Another member of Parliament counters that the number of employed workers in the Canadian economy has increased over the same period, based on the Labour Force survey. Explain how both members of Parliament can be correct.

Assume that the market basket of goods and services purchased in 2014 by the average family in Canada costs $14,000 in 2014 prices, whereas the same basket costs $21,000 in 2019 prices. However, the basket of goods and services actually purchased by the average family in 2019 costs $20,000 in 2019 prices, whereas this same basket would have cost $15,000 in 2014 prices. Given these data, a Paasche index for 2019 using 2014 prices would be:

Explain why the value of the GDP in 2018 would or would not change as a result of each transaction described below: a.In 2018, the Smith family purchased a new house that was built in 2018. b.In 2018, the Jones family purchased a house that was built in 2007. c.In 2018, a construction company purchased windows to put in the Smith family home that was built in 2018. d.In 2018, Mr. Jones painted all of the rooms of the Jones family house purchased in 2015, using paint and supplies purchased in 2018. e.In 2018, Mr. Smith used an online brokerage service to purchases shares of stock in a construction company.

If 2 million workers are unemployed, 18 million workers are employed, and the adult population equals 25 million, then the unemployment rate equals _____ percent.

If nominal GDP grew by 5 percent and real GDP grew by 3 percent, then the GDP deflator grew by approximately _____ percent.

When a firm sells a product out of inventory, investment expenditures _____, and consumption expenditures _____.

All of the following are stocks variables except: