What Is GDP?

What does GDP stand for?

• General Data Protection

• Great Demand for Pizza

• Global Development Program

• Gross Domestic Product

What does GDP measure?

• Total amount of money in circulation

• Total number of businesses in an economy

• Total population of a country

• Total market value of all final goods and services produced in an economy in a given year

How is GDP calculated?

• By estimating the value of goods and services based on consumer preferences

• By counting the number of goods and services produced

• By multiplying the prices of the goods and services by the quantity sold and adding it all up for the entire economy

• By randomly selecting a number as the GDP

In what currency are the goods and services measured for GDP?

• Pounds sterling

• Euros

• Yen

• U.S. dollars

How often is GDP measured?

• Monthly

• Annually

• Bi-annually

• Quarterly

What does a growing economy indicate?

• Decrease in the population

• Rising unemployment

• Decrease in the quality of goods and services

• More jobs and rising standards of living

What does a contracting economy indicate?

• Decrease in the population

• Increase in the quality of goods and services

• More jobs and rising standards of living

• The economy is likely in recession and will experience rising unemployment

Why is GDP considered a useful indicator of the economy's health?

• Because it measures the production of goods and services

• Because it can be tracked by either adding up income earned from selling goods and services or by tracking spending on goods and services

• All of the above

• Because it is measured on a quarterly basis