Exam 19: GDP: Measuring Total Production and Income

The underground economy the informal sector can be a significant drag on the economies of developing countries.Why are firms in the informal sector often less efficient than firms in the formal sector?

Suppose that nominal GDP in 2011 was less than real GDP in 2011.Given this information,we know for certain that

Which of the following statements about the underground economy is true?

If nominal GDP exceeds real GDP for a specific year,then the GDP deflator must be

Which of the following transactions represents the purchase of a final good?

Gross domestic product is calculated by summing up

Table 19-16 -Refer to Table 19-16.The table above represents hypothetical data from the National Income Accounts for 2011.Use the data to calculate personal income and disposable income.

Increases in real GDP would overstate the increase in the well-being of a country over time if,over that time period,the

The best measure of the income households actually have available to spend is

In the United States,households were saving about ________ of their income in the mid 1980s,and by 2005,saving ________.

In 2010,which component of GDP had a negative value?

The GDP deflator is a measure of the

Macroeconomics seeks to understand

Table 19-12 -Refer to Table 19-12.Consider the following data on nominal GDP and real GDP (values are in billions of dollars): The GDP deflator for 2010 equals

Table 19-8 Consider the following data for Tyrovia, a country that produces only two products: guns and butter. -Refer to Table 19-8.Nominal GDP for Tyrovia in 2011 equals

If real GDP in 2011 (using 2002 prices)is lower than nominal GDP of 2010,then

If prices in the economy rise,then

Table 19-11 -Refer to Table 19-11.Consider the following data on nominal GDP and real GDP (values are in billions of dollars): The GDP deflator for 2011 equals

Which of the following is not true about the composition of GDP in 2010?

The purchase by a foreign government of an airplane produced in the United States is included in U.S.