Macroeconomics Review

Front

What is GDP?

Back

Gross Domestic Product

Front

Which of the following is NOT TRUE of GDP?

Back

It considers the market value of both intermediate and final goods and services.

Front

Is the hiring of contractors by the government to build and pave highways included in GDP within the expenditures model?

Back

YES

Front

What are the two main types of GDP?

Back

Nominal & Real

Front

Which type of GDP accounts for inflation and is therefore the MOST accurate? Options: Nominal, Growth, Real, Non-Market

Back

Real

Front

Which of the following is NOT measured in GDP?

• Illegal narcotics sales
• Running a plumbing business
• Selling produce
• Buying an American-made car

Back

Illegal narcotics sales

Front

When does money lose its value?

Back

It becomes too plentiful.

Front

The central bank in the USA that regulates the monetary system

Back

The Federal Reserve

Front

Someone buys a car in exchange for a large amount of money. They have completed an exchange in which part of the circular flow model?

Back

Goods and Services Market

Front

Money exchanged between an individual and a store for a good or service.

Back

Revenue