Exam 6: Up Around the Circular Flow: Gdp, Economic Growth, and Business Cycles

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Businesses usually need to borrow money for investment spending because it takes time before sales revenues flow from newly built factories.

(True/False)

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Question 41

Inequalities in income distributions lower economic well-being.

(True/False)

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Question 42

When parents home-school their children they are engaged in

(Multiple Choice)

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Question 43

In calculating Canadian GDP, imports are subtracted from aggregate spending because

(Multiple Choice)

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Question 44

The concept of creative destruction was introduced by Adam Smith.

(True/False)

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Question 45

Aggregate expenditure is $200. Consumers pay $70 in net taxes and spend $80 on products and services. Disposable income is $50.

(True/False)

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Question 46

The sum of all value added equals the sum of all incomes.

(True/False)

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Question 47

At potential GDP, the smart choices of households and the smart choices of businesses are coordinated in each separate market.

(True/False)

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Question 48

Which statement about nominal and real GDP is incorrect?

(Multiple Choice)

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Question 49

If real GDP is $200 billion but potential GDP is $160 billion, the output gap is - $40 billion.

(True/False)

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Question 50

Economic growth is represented on a macro production possibilities frontier (PPF) by a(n)

(Multiple Choice)

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Question 51

Smokie Joe, a known drug-dealer, buys a taco salad at Wendy's. This amount is not included in nominal GDP because everyone knows that Joe got his money illegally.

(True/False)

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Question 52

The population of West Moreland is 200,000 persons. There are 180,000 persons in the labour force. The labour force participation rate is 36 percent.

(True/False)

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Question 53

A movement along a macro production possibilities frontier is caused by a change in

(Multiple Choice)

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Question 54

Economic growth is represented on a macro production possibilities frontier (PPF) by a movement from a point inside the PPF to a point on the PPF.

(True/False)

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Question 55

The concept of creative destruction was introduced by Joseph Schumpeter.

(True/False)

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Question 56

Although Toyota is a Japanese corporation, Toyota cars produced in Ontario count as part of Canada's GDP.

(True/False)

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Question 57

Reginald Rothchild buys $200 of blueberries while on vacation in Canada. Because Reginald is from England, this amount will be included in nominal GDP for England, but not for Canada.

(True/False)

4.9/5

(40)

Question 58

The quality of labour inputs increases through

(Multiple Choice)

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Question 59

Nominal GDP per person is the best measure of a country's material standard of living.

(True/False)

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Question 60

Showing 41 - 60 of 277

Businesses usually need to borrow money for investment spending because it takes time before sales revenues flow from newly built factories.

Inequalities in income distributions lower economic well-being.

When parents home-school their children they are engaged in

In calculating Canadian GDP, imports are subtracted from aggregate spending because

The concept of creative destruction was introduced by Adam Smith.

Aggregate expenditure is $200. Consumers pay $70 in net taxes and spend $80 on products and services. Disposable income is $50.

The sum of all value added equals the sum of all incomes.

At potential GDP, the smart choices of households and the smart choices of businesses are coordinated in each separate market.

Which statement about nominal and real GDP is incorrect?

If real GDP is $200 billion but potential GDP is $160 billion, the output gap is - $40 billion.

Economic growth is represented on a macro production possibilities frontier (PPF) by a(n)

Smokie Joe, a known drug-dealer, buys a taco salad at Wendy's. This amount is not included in nominal GDP because everyone knows that Joe got his money illegally.

The population of West Moreland is 200,000 persons. There are 180,000 persons in the labour force. The labour force participation rate is 36 percent.

A movement along a macro production possibilities frontier is caused by a change in

Economic growth is represented on a macro production possibilities frontier (PPF) by a movement from a point inside the PPF to a point on the PPF.

The concept of creative destruction was introduced by Joseph Schumpeter.

Although Toyota is a Japanese corporation, Toyota cars produced in Ontario count as part of Canada's GDP.

Reginald Rothchild buys $200 of blueberries while on vacation in Canada. Because Reginald is from England, this amount will be included in nominal GDP for England, but not for Canada.

The quality of labour inputs increases through

Nominal GDP per person is the best measure of a country's material standard of living.

Whats in Economics for You Scarcity, Opportunity Cost, Trade, and Models

Making Smart Choices: the Law of Demand

Show Me the Money: the Law of Supply

Coordinating Smart Choices: Demand and Supply

Are Your Smart Choices Smart for All Macroeconomics and Microeconomics

Costs of Not Working and Living: Unemployment and Inflation

Skating to Where the Puck Is Going: Aggregate Supply and Aggregate Demand

Money Is for Lunatics: Demanders and Suppliers of Money

Trading Dollars for Dollars Exchange Rates and Payments With the Rest of the World

Steering Blindly Monetary Policy and the Bank of Canada

Spending Others Money: Fiscal Policy, Deficits, and National Debt

Are Sweatshops All Bad Globalization and Trade Policy

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