Question 1

The percent change in the overall level of prices in the economy is called

Accepted Answer

A)   the inflation rate.
B)   the growth rate of GDP.
C)   GDP.
D)   GDP per capita.
E)   the interest rate.F) A) and E)
G) A) and D)

Question 2

Consider the following data that identifies real gross domestic product (GDP)  in comparison to the long-run trend of real GDP to answer the next  questions:
  Quarter  Real GDP  (billions of dollars)   Long-Run Trend of Real  GDP (billions of dollars)  14,0004,00024,1604,12034,3264,24444,4134,37154,5014,50264,5914,63774,4994,77684,4094,91994,6735,067104,9545,219115,2525,376125,3765,537\begin{array} { l l l } \hline 	ext { Quarter } & \begin{array} { l } 	ext { Real GDP } \	ext { (billions of dollars)  }\end{array} & \begin{array} { l } 	ext { Long-Run Trend of Real } \	ext { GDP (billions of dollars)  }\end{array} \\hline 1 & 4,000 & 4,000 \2 & 4,160 & 4,120 \3 & 4,326 & 4,244 \4 & 4,413 & 4,371 \5 & 4,501 & 4,502 \6 & 4,591 & 4,637 \7 & 4,499 & 4,776 \8 & 4,409 & 4,919 \9 & 4,673 & 5,067 \10 & 4,954 & 5,219 \11 & 5,252 & 5,376 \12 & 5,376 & 5,537 \\hline\end{array} Quarter 123456789101112​ Real GDP  (billions of dollars)  ​4,0004,1604,3264,4134,5014,5914,4994,4094,6734,9545,2525,376​ Long-Run Trend of Real  GDP (billions of dollars)  ​4,0004,1204,2444,3714,5024,6374,7764,9195,0675,2195,3765,537​​ 
-Between quarter 2 and quarter 3, real gross domestic product GDP)  grew by what percentage?

Accepted Answer

A)   4 percent
B)   3 percent
C)   1 percent
D)   2 percent
E)   -2 percent F) A) and D)
G) All of the above

Question 3

An example of an intermediate good would be

Accepted Answer

A)   lumber used by a consumer to build a fence in his or her yard.
B)   pencils purchased by a restaurant to be used to take orders.
C)   a new stove purchased by a consumer.
D)   an airplane purchased by the government.
E)   Social Security payments made by the government.F) A) and C)
G) A) and E)

Question 4

The country of Aqua has an economy that is based entirely on lobsters. When it produces and sells ______lobsters in a given day, income earned will______ .

Accepted Answer

A)   more; stay the same
B)   more; increase
C)   more; decrease
D)   fewer; stay the same
E)   fewer; increaseF) D) and E)
G) B) and E)

Question 5

Farmer Bill grows wheat and sells it to the miller for $50,000. The miller turns it into flour and sells it to the bakery for $75,000. The bakery uses the flour in the bread that it sells to people for $90,000. The total contribution to gross domestic product GDP)  is

Accepted Answer

A)   $90,000.
B)   $75,000.
C)   $50,000.
D)   $25,000.
E)   $215,000.F) B) and E)
G) A) and B)

Question 6

Gross domestic product GDP)  is best defined as the total market value of all

Accepted Answer

A)   goods and services produced within a country within a given time.
B)   final goods and services produced within a country within a given time.
C)   services produced within a country within a given time.
D)   goods produced within a country within a given time.
E)   final goods produced within a country within a given time.F) A) and E)
G) B) and D)

Question 7

To determine living standards for the average person, we calculate

Accepted Answer

A)   GDP.
B)   per capita GDP.
C)   the average level of prices in the country.
D)   the length of time the average person is unemployed.
E)   the growth rate of GDP.F) None of the above
G) B) and C)

Exam 6: Introduction to Macroeconomics and Gross Domestic Product

Correct Answer
verified

Farmer Bill grows wheat and sells it to the miller for $50,000. The miller turns it into flour and sells it to the bakery for $75,000. The bakery uses the flour in the bread that it sells to people for $90,000. The total contribution to gross domestic product GDP) is

Correct Answer
verified

The country of Aqua has an economy that is based entirely on lobsters. When it produces and sells lobsters in a given day, income earned will .

Correct Answer
verified

Gross domestic product GDP) is best defined as the total market value of all

Correct Answer
verified

An example of an intermediate good would be

Correct Answer
verified

The percent change in the overall level of prices in the economy is called

Correct Answer
verified

To determine living standards for the average person, we calculate

Correct Answer
verified

Exam 6: Introduction to Macroeconomics and Gross Domestic Product

Correct AnswerverifiedShow Answer

Farmer Bill grows wheat and sells it to the miller for $50,000. The miller turns it into flour and sells it to the bakery for $75,000. The bakery uses the flour in the bread that it sells to people for $90,000. The total contribution to gross domestic product GDP) is

Correct AnswerverifiedShow Answer

The country of Aqua has an economy that is based entirely on lobsters. When it produces and sells ______lobsters in a given day, income earned will______ .

Correct AnswerverifiedShow Answer

Gross domestic product GDP) is best defined as the total market value of all

Correct AnswerverifiedShow Answer

An example of an intermediate good would be

Correct AnswerverifiedShow Answer

The percent change in the overall level of prices in the economy is called

Correct AnswerverifiedShow Answer

To determine living standards for the average person, we calculate

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

The country of Aqua has an economy that is based entirely on lobsters. When it produces and sells lobsters in a given day, income earned will .

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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