Question 1

GDP per person tells us the income and expenditure of the

Accepted Answer

A)   richest person in the economy.
B)   poorest person in the economy.
C)   average person in the economy.
D)   entire economy.E) C) and D)
F) A) and B)

Question 2

If nominal GDP is $12 trillion and real GDP is $10 trillion,then the GDP deflator is

Accepted Answer

A)   83.33,and this indicates that the price level has decreased by 16.67 percent since the base year.
B)   83.33,and this indicates that the price level has increased by 83.33 percent since the base year.
C)   120,and this indicates that the price level has increased by 20 percent since the base year.
D)   120,and this indicates that the price level has increased by 120 percent since the base year.E) A) and B)
F) B) and D)

Question 3

A country's real GDP rose from 500 to 550 while its nominal GDP rose from 600 to 770.What was this country's inflation rate?

Accepted Answer

A)   16.7%
B)   20%
C)   -14.3%
D)   -20%E) B) and D)
F) B) and C)

Question 4

Table 15-4
The table below reports nominal and real GDP for the U.S.from 1929 to 1932.
 
-Refer to Table 15-3.What was the growth rate of real GDP for 1931?

Accepted Answer

A)   -6.93%.Real GDP is a better gauge of economic well-being than nominal GDP.
B)   -6.93%.Nominal GDP is a better gauge of economic well-being than real GDP.
C)   -6.49%.Real GDP is a better gauge of economic well-being than nominal GDP.
D)   -6.49%.Nominal GDP is a better gauge of economic well-being than real GDP.E) None of the above
F) A) and B)

Question 5

Sally purchases a classic 1964 car she saw for sale on someone's lawn.She then purchases some new parts and spends 120 hours refurbishing the car which she keeps.Which of the following is included in GDP?

Accepted Answer

A)   the amount she paid to buy the car
B)   the amount she paid to buy new parts
C)   the value of her time repairing the car
D)   All of the above are included.E) B) and C)
F) A) and D)

Question 6

Between 1929 and 1933,NNP measured in current prices fell from $96 billion to $48 billion.Over the same period,the relevant price index fell from 100 to 75.
a.
What was the percentage decline in nominal NNP from 1929 to1933?
b.
What was the percentage decline in real NNP from 1929 to 1933? Show your work.

Accepted Answer

a. NNP measured in current prices is nom...

Question 7

In a simple circular-flow diagram,households buy goods and services with the income they get from

Accepted Answer

A)   wages.
B)   rents.
C)   profits.
D)   All of the above are correct.E) A) and B)
F) A) and C)

Exam 15: Measuring a Nations Income

Table 15-4 The table below reports nominal and real GDP for the U.S.from 1929 to 1932. -Refer to Table 15-3.What was the growth rate of real GDP for 1931?

Correct Answer
verified

If nominal GDP is $12 trillion and real GDP is $10 trillion,then the GDP deflator is

Correct Answer
verified

Correct Answer
verified
a. NNP measured in current prices is nom...
View Answer

In a simple circular-flow diagram,households buy goods and services with the income they get from

Correct Answer
verified

Sally purchases a classic 1964 car she saw for sale on someone's lawn.She then purchases some new parts and spends 120 hours refurbishing the car which she keeps.Which of the following is included in GDP?

Correct Answer
verified

GDP per person tells us the income and expenditure of the

Correct Answer
verified

A country's real GDP rose from 500 to 550 while its nominal GDP rose from 600 to 770.What was this country's inflation rate?

Correct Answer
verified

Exam 15: Measuring a Nations Income

Table 15-4 The table below reports nominal and real GDP for the U.S.from 1929 to 1932. -Refer to Table 15-3.What was the growth rate of real GDP for 1931?

Correct AnswerverifiedShow Answer

If nominal GDP is $12 trillion and real GDP is $10 trillion,then the GDP deflator is

Correct AnswerverifiedShow Answer

Correct Answerverifieda. NNP measured in current prices is nom...View AnswerShow Answer

In a simple circular-flow diagram,households buy goods and services with the income they get from

Correct AnswerverifiedShow Answer

Sally purchases a classic 1964 car she saw for sale on someone's lawn.She then purchases some new parts and spends 120 hours refurbishing the car which she keeps.Which of the following is included in GDP?

Correct AnswerverifiedShow Answer

GDP per person tells us the income and expenditure of the

Correct AnswerverifiedShow Answer

A country's real GDP rose from 500 to 550 while its nominal GDP rose from 600 to 770.What was this country's inflation rate?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
a. NNP measured in current prices is nom...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified