Measuring Economic Activity - Learning Outcomes

Gross domestic product is defined as:

• The total value of all goods and services produced within a country in a given period.

• The total value of all goods and services produced by a country's citizens abroad.

• The total value of all imports and exports of a country.

• The total amount of money in circulation in a country.

Economic measures of labor include which of the following?

• Wage rate, productivity, and employment rate

• Color of uniforms, lunch breaks, and office location

• Number of holidays, company logo, and parking space

• Type of machinery, building height, and office furniture

What is the definition of GDP per capita?

• GDP per capita is the gross domestic product divided by the population of a country, showing the average economic output per person.

• GDP per capita is the total government spending in a country divided by the number of businesses.

• GDP per capita is the total value of exports divided by the population of a country.

• GDP per capita is the average income of only the employed population in a country.

What is the definition of unemployment rate?

• The unemployment rate is the percentage of the labor force that is unemployed and actively seeking employment.

• The unemployment rate is the percentage of people who are retired.

• The unemployment rate is the percentage of the population that is employed.

• The unemployment rate is the percentage of people who are not looking for a job.

What is the definition of productivity?

• Productivity is the measure of how efficiently goods and services are produced, often expressed as output per unit of input.

• Productivity is the total number of employees in a company.

• Productivity is the amount of money spent on raw materials.

• Productivity is the number of hours worked by employees.

What is the definition of personal income?

• Personal income is the total income received by individuals, including wages, salaries, and other earnings.

• Personal income is the profit earned by companies after paying taxes.

• Personal income is the total value of goods and services produced in a country.

• Personal income is the amount of money saved by the government each year.

What is the definition of retail sales?

• Retail sales are the sales of goods and services to consumers for personal or household use.

• Retail sales are the sales of goods and services to businesses for resale.

• Retail sales are the sales of raw materials to manufacturers.

• Retail sales are the sales of stocks and bonds to investors.

Which of the following is NOT a component of GDP?

• Consumer spending

• Business spending

• Government spending

• Personal savings

• Export - Imports

Fill in the blank: One of the components of GDP is ________ spending.

• Consumer

• Military

• Charitable

• Personal

Fill in the blank: The difference between exports and imports is a component of ________.

• GDP

• inflation

• interest rate

• unemployment