Question 1

The long run average growth rate of real GDP in the U.S. economy is about:

Accepted Answer

A)  2%. 
B)  3%. 
C)  5%. 
D)  10%. 
E)  1%. 
A)  2%. 
B)  3%. 
C)  5%. 
D)  10%. 
E)  1%. B

Question 2

Which of the following is a topic of macroeconomics?

Accepted Answer

A)  the income earned by a person 
B)  the profit earned by a firm 
C)  production in the computer industry 
D)  the price of ice cream 
E)  the number of people in the economy with no jobs 
A)  the income earned by a person 
B)  the profit earned by a firm 
C)  production in the computer industry 
D)  the price of ice cream 
E)  the number of people in the economy with no jobs E

Question 3

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012.  
-What was the GDP deflator in 2013?

Accepted Answer

A)  108.3 
B)  103 
C)  120 
D)  130 
E)  110 
A)  108.3 
B)  103 
C)  120 
D)  130 
E)  110 A

Question 4

The state of Florida spends $3 million to repave highways. This is included in the ______ category of GDP.

Accepted Answer

A)  consumption 
B)  investment 
C)  government purchases 
D)  net exports 
E)  services 
A)  consumption 
B)  investment 
C)  government purchases 
D)  net exports 
E)  services

Question 5

Consider the following data, where GDP values are measured in millions of dollars, to answer the next questions:  
-What was the growth rate of nominal GDP from 2010 to 2011? Round to the nearest second decimal.

Accepted Answer

A)  4.94% 
B)  8.96% 
C)  8.23% 
D)  5.00% 
E)  10.00% 
A)  4.94% 
B)  8.96% 
C)  8.23% 
D)  5.00% 
E)  10.00%

Question 6

Economic growth is best measured by changes in:

Accepted Answer

A)  nominal GDP. 
B)  real GDP. 
C)  the inflation rate. 
D)  the unemployment rate. 
E)  the number of jobs. 
A)  nominal GDP. 
B)  real GDP. 
C)  the inflation rate. 
D)  the unemployment rate. 
E)  the number of jobs.

Question 7

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next  questions: Assume that the base year is 2012.  
-What was the GDP deflator in 2013?

Accepted Answer

A)  116.67 
B)  108.57 
C)  100 
D)  119.44 
E)  102.38 
A)  116.67 
B)  108.57 
C)  100 
D)  119.44 
E)  102.38

Question 8

Consider the following figure to answer the next  questions:  
-In which year was it most likely the most difficult to find a job?

Accepted Answer

A)  2000 
B)  2001 
C)  2004 
D)  2005 
E)  2008 
A)  2000 
B)  2001 
C)  2004 
D)  2005 
E)  2008

Question 9

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012.  
-What was the inflation rate between the two years?

Accepted Answer

A)  1% 
B)  3.2% 
C)  2% 
D)  3.8% 
E)  8.3% 
A)  1% 
B)  3.2% 
C)  2% 
D)  3.8% 
E)  8.3%

Question 10

Consider the following figure to answer the next  questions:  
-During which period was the economy in a contraction?

Accepted Answer

A)  2001-2005 
B)  2008-2009 
C)  2004-2008 
D)  2005-2008 
E)  2000-2004 
A)  2001-2005 
B)  2008-2009 
C)  2004-2008 
D)  2005-2008 
E)  2000-2004

Question 11

Consider the following data, which shows the quantities and prices of two goods produced in the economy, to answer the next three questions:  
-The market value of pizza is:

Accepted Answer

A)  $25 million. 
B)  $10 million. 
C)  $2.5 million. 
D)  $250 million. 
E)  $750 million. 
A)  $25 million. 
B)  $10 million. 
C)  $2.5 million. 
D)  $250 million. 
E)  $750 million.

Question 12

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next  questions: Assume that the base year is 2012.  
-What was the growth rate of real GDP between the two years?

Accepted Answer

A)  1.67% 
B)  0% 
C)  3.2% 
D)  2.4% 
E)  4.4% 
A)  1.67% 
B)  0% 
C)  3.2% 
D)  2.4% 
E)  4.4%

Question 13

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012.  
-What was the real GDP in 2013?

Accepted Answer

A)  $3,000 
B)  $3,600 
C)  $3,900 
D)  $3,350 
E)  $8,550 
A)  $3,000 
B)  $3,600 
C)  $3,900 
D)  $3,350 
E)  $8,550

Question 14

Bob wins the lottery. This ________ included in ________ category of GDP.

Accepted Answer

A)  is; the consumption 
B)  is; the investment 
C)  is; the government purchases 
D)  is; the net export 
E)  is not; any 
A)  is; the consumption 
B)  is; the investment 
C)  is; the government purchases 
D)  is; the net export 
E)  is not; any

Question 15

An index of the average prices of all goods and services throughout the economy is called:

Accepted Answer

A)  the inflation rate. 
B)  the GDP deflator. 
C)  the interest rate. 
D)  the consumer price index. 
E)  nominal GDP. 
A)  the inflation rate. 
B)  the GDP deflator. 
C)  the interest rate. 
D)  the consumer price index. 
E)  nominal GDP.

Question 16

A shortcoming of using real GDP as a measure of economic well-being is that it does not measure changes in:

Accepted Answer

A)  production. 
B)  environmental quality. 
C)  prices. 
D)  unemployment. 
E)  interest rates. 
A)  production. 
B)  environmental quality. 
C)  prices. 
D)  unemployment. 
E)  interest rates.

Question 17

If GDP is increasing, is the country necessarily producing a larger quantity of goods and services? Explain.

Accepted Answer

No, the country is not necessarily produ

Question 18

The government purchases category of GDP includes spending by:

Accepted Answer

A)  federal, state, and local government. 
B)  federal and state government. 
C)  state and local government. 
D)  local government only. 
E)  the federal government only. 
A)  federal, state, and local government. 
B)  federal and state government. 
C)  state and local government. 
D)  local government only. 
E)  the federal government only.

Question 19

You bought a popular video game last year for $75 and sold it to a store this year for $20. The store sells the used game to a consumer for $50. This adds _____ to GDP when the store sells the game to the consumer.

Accepted Answer

A)  nothing 
B)  $30 
C)  $50 
D)  $20 
E)  $25 
A)  nothing 
B)  $30 
C)  $50 
D)  $20 
E)  $25

Question 20

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next  questions: Assume that the base year is 2012.  
-What was the GDP deflator in 2012?

Accepted Answer

A)  100 
B)  108 
C)  103 
D)  109 
E)  106 
A)  100 
B)  108 
C)  103 
D)  109 
E)  106

The long run average growth rate of real GDP in the U.S. economy is about:

Which of the following is a topic of macroeconomics?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2013?

The state of Florida spends $3 million to repave highways. This is included in the ______ category of GDP.

Consider the following data, where GDP values are measured in millions of dollars, to answer the next questions: -What was the growth rate of nominal GDP from 2010 to 2011? Round to the nearest second decimal.

Economic growth is best measured by changes in:

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2013?

Consider the following figure to answer the next questions: -In which year was it most likely the most difficult to find a job?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the inflation rate between the two years?

Consider the following figure to answer the next questions: -During which period was the economy in a contraction?

Consider the following data, which shows the quantities and prices of two goods produced in the economy, to answer the next three questions: -The market value of pizza is:

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the growth rate of real GDP between the two years?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the real GDP in 2013?

Bob wins the lottery. This included in category of GDP.

An index of the average prices of all goods and services throughout the economy is called:

A shortcoming of using real GDP as a measure of economic well-being is that it does not measure changes in:

If GDP is increasing, is the country necessarily producing a larger quantity of goods and services? Explain.

The government purchases category of GDP includes spending by:

You bought a popular video game last year for $75 and sold it to a store this year for $20. The store sells the used game to a consumer for $50. This adds _____ to GDP when the store sells the game to the consumer.

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2012?

The Five Foundations of Economics

Model Building and Gains From Trade

The Market at Work: Supply and Demand

Price Controls

The Efficiency of Markets and the Costs of Taxation

Unemployment

The Price Level and Inflation

Savings, Interest Rates, and the Market for Loanable Funds

Financial Markets and Securities

Economic Growth and the Wealth of Nations

Growth Theory

The Aggregate Demandaggregate Supply Model

The Great Recession, the Great Depression, and Great Macroeconomic Debates

Federal Budgets: the Tools of Fiscal Policy

Fiscal Policy

Money and the Federal Reserve

Monetary Policy

International Trade

International Finance

Filters

Exam 6: Introduction to Macroeconomics and Gross Domestic Product

The long run average growth rate of real GDP in the U.S. economy is about:

Which of the following is a topic of macroeconomics?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2013?

The state of Florida spends $3 million to repave highways. This is included in the ______ category of GDP.

Consider the following data, where GDP values are measured in millions of dollars, to answer the next questions: -What was the growth rate of nominal GDP from 2010 to 2011? Round to the nearest second decimal.

Economic growth is best measured by changes in:

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2013?

Consider the following figure to answer the next questions: -In which year was it most likely the most difficult to find a job?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the inflation rate between the two years?

Consider the following figure to answer the next questions: -During which period was the economy in a contraction?

Consider the following data, which shows the quantities and prices of two goods produced in the economy, to answer the next three questions: -The market value of pizza is:

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the growth rate of real GDP between the two years?

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the real GDP in 2013?

Bob wins the lottery. This ________ included in ________ category of GDP.

An index of the average prices of all goods and services throughout the economy is called:

A shortcoming of using real GDP as a measure of economic well-being is that it does not measure changes in:

If GDP is increasing, is the country necessarily producing a larger quantity of goods and services? Explain.

The government purchases category of GDP includes spending by:

You bought a popular video game last year for $75 and sold it to a store this year for $20. The store sells the used game to a consumer for $50. This adds _____ to GDP when the store sells the game to the consumer.

Consider the following data that gives the quantity produced and unit price for three different goods across two different years to answer the next questions: Assume that the base year is 2012. -What was the GDP deflator in 2012?

The Five Foundations of Economics

Model Building and Gains From Trade

The Market at Work: Supply and Demand

Price Controls

The Efficiency of Markets and the Costs of Taxation

Unemployment

The Price Level and Inflation

Savings, Interest Rates, and the Market for Loanable Funds

Financial Markets and Securities

Economic Growth and the Wealth of Nations

Growth Theory

The Aggregate Demandaggregate Supply Model

The Great Recession, the Great Depression, and Great Macroeconomic Debates

Federal Budgets: the Tools of Fiscal Policy

Fiscal Policy

Money and the Federal Reserve

Monetary Policy

International Trade

International Finance

Filters

Bob wins the lottery. This included in category of GDP.