Exam 10: Gross Domestic Product and Economic Growth

Real GDP is a measure of society's

As a rule, economists agree that greater economic efficiency can be achieved by

GDP ignores the underground economy in which unreported barter and cash transactions take place outside recorded market channels.

From 2000 to 2005, what happened to labor productivity growth in the United States?

The text gives an example of the importance of human capital that was acquired during World War II. For which type of skill did U.S. workers more than double their productivity in two years?

Barriers to international trade tend to inhibit the efficient allocation of production across industries and thus allow inefficient industries to continue using labor and capital resources that could be used more productively in other sectors.

Technology in the Information Age has the potential to increase economic growth by lowering firms' costs and creating e-commerce opportunities.

Public capital, such as roads, bridges, and airports, is called

An increase in the availability of natural resources, physical capital, and human capital fosters growth for an economy.

Today, the average college graduate can expect to earn between ______ percent more than the average high school graduate.

The use of industrial policy is intended to encourage the development of emerging "sunrise" industries, such as high technology, by granting them subsidies.

Of the following choices, the best example of the purchase of a good or service by the government is

If nominal GDP increases and the price index increases, then

Which of the following is not included in GDP?

A policy of increasing domestic consumption would likely speed up economic growth by boosting productivity.

Intel produced the first microprocessor for use in handheld calculators.

Economists widely agree that there is a direct relation between the share of an economy's GDP that is devoted to investment goods and the productivity gains it realizes over time.

Gross domestic product is the market value of all final goods and services produced outside of a country in a given year.

Suppose that from 2008 to 2013, nominal GDP increased from $7,000 billion to $9,000 billion. However, the GDP deflator increased from 100 to 115 over this period. We can conclude that real GDP increased over this period.

The standard of living in the U.S. is best measured by the