Question 1

Changes in real GDP reflect

Accepted Answer

A)  only changes in prices. 
B)  only changes in the amounts being produced. 
C)  both changes in prices and changes in the amounts being produced. 
D)  neither changes in prices nor changes in the amounts being produced. 
A)  only changes in prices. 
B)  only changes in the amounts being produced. 
C)  both changes in prices and changes in the amounts being produced. 
D)  neither changes in prices nor changes in the amounts being produced.

Question 2

Goods that go into inventory and are not sold during the current period are

Accepted Answer

A)  counted as intermediate goods and so are not included in current period GDP. 
B)  counted in current period GDP only if the firm that produced them sells them to another firm. 
C)  included in current period GDP as inventory investment. 
D)  included in current period GDP as consumption. 
A)  counted as intermediate goods and so are not included in current period GDP. 
B)  counted in current period GDP only if the firm that produced them sells them to another firm. 
C)  included in current period GDP as inventory investment. 
D)  included in current period GDP as consumption.

Question 3

The U.S.government pays an economist at the U.S.Department of Commerce $50,000 in salary in 2006.The economist then retires.In 2007,the government pays him $30,000 in retirement benefits.Which of the following is correct?

Accepted Answer

A)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is included in 2007 GDP as government purchases. 
B)  The 2006 payment is included in 2006 GDP as government purchases,but the 2007 payment is not included in 2007 GDP. 
C)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is included in 2007 GDP as government transfer payments. 
D)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is allocated to previous years' GDP according to the amount of work performed by the economist each year. 
A)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is included in 2007 GDP as government purchases. 
B)  The 2006 payment is included in 2006 GDP as government purchases,but the 2007 payment is not included in 2007 GDP. 
C)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is included in 2007 GDP as government transfer payments. 
D)  The 2006 payment is included in 2006 GDP as government purchases,and the 2007 payment is allocated to previous years' GDP according to the amount of work performed by the economist each year.

Changes in real GDP reflect

Goods that go into inventory and are not sold during the current period are

The U.S.government pays an economist at the U.S.Department of Commerce $50,000 in salary in 2006.The economist then retires.In 2007,the government pays him $30,000 in retirement benefits.Which of the following is correct?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Elasticity and Its Application

Supply, Demand, and Government Policies

Consumers, Producers, and the Efficiency of Markets

Application: The Costs of Taxation

Application: International Trade

Externalities

Public Goods and Common Resources

The Design of the Tax System

The Costs of Production

Firms in Competitive Markets

Monopoly

Monopolistic Competition

Oligopoly

The Markets for the Factors of Production

Earnings and Discrimination

Income Inequality and Poverty

The Theory of Consumer Choice

Frontiers of Microeconomics

Measuring the Cost of Living

Production and Growth

Saving, investment, and the Financial System

The Basic Tools of Finance

Unemployment

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary and Fiscal Policy on Aggregate Demand

The Short-Run Trade-Off Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

Filters

Exam 23: Measuring a Nations Income

Changes in real GDP reflect

Goods that go into inventory and are not sold during the current period are

The U.S.government pays an economist at the U.S.Department of Commerce $50,000 in salary in 2006.The economist then retires.In 2007,the government pays him $30,000 in retirement benefits.Which of the following is correct?

Ten Principles of Economics

Thinking Like an Economist

Interdependence and the Gains From Trade

The Market Forces of Supply and Demand

Elasticity and Its Application

Supply, Demand, and Government Policies

Consumers, Producers, and the Efficiency of Markets

Application: The Costs of Taxation

Application: International Trade

Externalities

Public Goods and Common Resources

The Design of the Tax System

The Costs of Production

Firms in Competitive Markets

Monopoly

Monopolistic Competition

Oligopoly

The Markets for the Factors of Production

Earnings and Discrimination

Income Inequality and Poverty

The Theory of Consumer Choice

Frontiers of Microeconomics

Measuring the Cost of Living

Production and Growth

Saving, investment, and the Financial System

The Basic Tools of Finance

Unemployment

The Monetary System

Money Growth and Inflation

Open-Economy Macroeconomics: Basic Concepts

A Macroeconomic Theory of the Open Economy

Aggregate Demand and Aggregate Supply

The Influence of Monetary and Fiscal Policy on Aggregate Demand

The Short-Run Trade-Off Between Inflation and Unemployment

Five Debates Over Macroeconomic Policy

Filters