Exam 7: Gdp and the Cpi: Tracking the Macroeconomy

Use the following to answer questions: -(Table: Peanut Butter and Jelly)Use Table: Peanut Butter and Jelly.Suppose a market basket consists of 20 jars of peanut butter and 10 jars of jelly.If 2012 is the base year,what is the value of the price index in 2013?

Real GDP tends to understate our economic well-being because it:

In the circular-flow diagram,the places where resources,especially capital and labour,are bought and sold are the:

The most important use of GDP is to measure of the size of the economy,which can be used to compare economic performance over time or between countries.

A bond is:

Use the following to answer questions: -(Table: Pizza Economy III)Use Table: Pizza Economy III.Considering 2010 as the base year,real GDP in 2011 was:

Use the following to answer questions: -Aggregate output is:

Goods that are produced domestically but sold abroad are:

Households do NOT derive income from:

Goods that are produced in a particular period but NOT sold in that period:

Use the following to answer questions: -(Table: Lemonade and Cookies)Use Table: Lemonade and Cookies.Assume that an economy produces only lemonade and cookies.The growth of nominal GDP from 2013 to 2014 was due to approximately a _____% increase in prices and approximately a _____% increase in aggregate output.

Use the following to answer questions: -(Table: Peanut Butter and Jelly)Use Table: Peanut Butter and Jelly.Suppose a market basket consists of 20 jars of peanut butter and 10 jars of jelly.What is the value of the market basket in 2012?

Use the following to answer questions: -(Figure 7-1: Circular-Flow Model)Use Figure 7-1: Circular-Flow Model.If the circular-flow model is in equilibrium (the sum of money flowing into each box is equal to the sum of the money flowing out of it)and there is a decrease in investment spending,holding everything else constant,which outcome is likely to occur?

Choose the best answer.Real GDP tends to overstate our economic well-being by including:

A share in the ownership of a company is a(n):

Use the following to answer questions: -(Table: Per Capita GDP)Use Table: Per Capita GDP.The growth rate of per capita real GDP from 2011 to 2014 was:

Spending on housing is the largest portion of the consumer price index.

Government borrowing is:

If the consumer price index for 2010 was 160.6 and for 2011 was 163.1,what was the inflation rate between the two years?

Use the following to answer questions: -(Table: Peanut Butter and Jelly)Use Table: Peanut Butter and Jelly.Suppose a market basket consists of 20 jars of peanut butter and 10 jars of jelly.If 2012 is the base year,what is the rate of inflation between 2012 and 2013?