Exam 13: Measuring an Economys Performance

If a country has a GDP of $10,000, consumer spending of $6,000, investment spending of $1,000, government spending of $4,000, and exports of $2,000, then its imports must be:

Full employment refers to the level of employment when there is no _____ unemployment.

Suppose that the nominal GDP of a country in 2017 is $10 trillion. The real GDP of the country remains constant between 2017 and 2018, but the price level increases by 20 percent. What is the nominal GDP of the country in 2018?

The type of unemployment that occurs as a result of the time that it takes to match workers with jobs is known as _____ unemployment.

Suppose that the price of a slice of pizza in New York City was 30 cents in 1970. Further, the Consumer Price Index (CPI) in 1970 was 75 and in 2018 is 250. The price of the slice of pizza in 2018 dollars is:

Which of the following statements is NOT true?

A worker has a nominal income of $10,000 in the year 2000, and the Consumer Price Index (CPI) for 2000 was 100. If the worker's nominal income remained unchanged in 2001 but the real income increased to $10,050, then the CPI for 2001 is _____, and there has been _____ in the economy.

Suppose that a country exports $500 billion worth of goods and services and imports $200 billion worth of goods during a given year. These transactions would result in a _____ in the country's GDP.

Which of the following is NOT a final good?

If both the real and nominal GDP of a country decrease, then we can be sure that:

If an economy has a total labor force of 1,500 and there is a 5 percent unemployment rate, then how many workers are employed?

If a country has a consumer spending of $6,000, investment spending of $3,000, government spending of $3,000, imports of $1,000, and exports of $2,000, then the country's GDP is:

Suppose that the nominal GDP of a country increases and the real GDP remains unchanged. If so, then the production must have _____, and the price level must have:

Which of the following statements is NOT true?

In which of the following cases can it be certain that a country's production increases?

If the nominal wage of a worker increases by 10 percent and her purchasing power decreases by 5 percent, then we can conclude that the price level must have _____ than 10 percent.

Suppose that the nominal GDP of a country is $10 trillion in 2017. Further, the Consumer Price Index (CPI) in 2017 is 125. If the base year is 2000, then real GDP of the country in 2017 in base year prices is _____ trillion.

During the great recession of 2007 to 2009, the U.S unemployment rate increased to about 10.2 percent. A big part of the increase in unemployment during this recession can be attributed to an increase in the _____ unemployment.

Which of the following measures of economic activity for a country does NOT capture the overall quality of life of its citizens?

Suppose that the nominal GDP of a country in 2017 is $10 trillion. The real GDP of the country increased by 20 percent between 2017 and 2018, and the price level increased by 10 percent between 2017 and 2018. What is the nominal GDP of the country in 2018?