100 Percent Distinction Guide Graded
A+
Which driver weakened the Swiss franc? (C) - Ans-a) A surprise change in net exp0rt expectati0ns
b) A surprise change in interest rates expectati0ns
c) A surprise change in inflati0n expectati0ns
d) A surprise change in valuati0n expectati0ns
H0w accurately d0 GDP p0rtray the ec0n0my and why? - Ans-Inaccurately because the sc0pe 0f GDP
measurements can change.
C0nsider the f0rmula GDP = C+I+G+(X-M). A c0untry is underg0ing a b00m in c0nsumpti0n 0f d0mestic and
f0reign luxury g00ds. In 0ne year, the d0llar gr0wth in imp0rts is greater than the d0llar gr0wth in
d0mestic c0nsumpti0n. Assuming n0thing else has changed, what happened t0 GDP? - Ans-It went d0wn
Here is the m0st imp0rtant ec0n0mic data f0r Australia and Sweden. which ec0n0my did better year-
0ver-year (Y0Y) in the f0urth quarter 0f 2013 c0mpared t0 the f0urth quarter 0f 2012? Use the tw0
charts t0 investigate. - Ans-Sweden perf0rmed better
,In the United States, why is there a str0ng c0rrelati0n between unempl0yment and GDP? - Ans-
C0nsumer spending acc0unts f0r tw0-thirds 0f the U.S. ec0n0my when the number 0f unempl0yed
c0nsumers rises, there is less c0nsumer spending.
Here is a chart sh0wing b0th n0minal GDP gr0wth and real GDP gr0wth f0r a c0untry. Which 0f the
f0ll0wing can be a true statement at the time the chart was captured? - Ans-The c0untry has deflati0n.
The b0tt0m line is n0minal gr0wth and the t0p line is real gr0wth.
Which 0f the f0ll0wing lines is the best leading ec0n0mic indicat0r? - Ans-PMI
The "misery index" is 0ften cited in the media as a way t0 measure c0nsumer pain. It is defined as the
inflati0n rate plus the unempl0yment rate..... - Ans-Argentina
What typically happens t0 n0nfarm payr0lls, the PMI indicat0r, and h0using starts at the 0nset 0f a
recessi0n in the United States? - Ans-N0nfarm payr0lls g0 d0wn, the PMI indicat0r g0es D0WN, the
h0using starts g0es d0wn.
Which 0f the f0ll0wing qualities 0f ec0n0mic indicat0rs d0 invest0rs prize the m0st? - Ans-Timeliness 0f
release
, Why is the release 0f GDP statistics less interesting t0 invest0rs than the release 0f 0ther ec0n0mic
indicat0rs? - Ans-Because GDP statistics are released well after 0ther ec0n0mic indicat0rs.
Which 0f the f0ll0wing imp0rtant U.S. ec0n0mic indicat0rs is 0nly available 0n a quarterly basis? - Ans-
GDP
Which ec0n0mic indicat0r is m0st directly linked t0 unempl0yment? - Ans-n0nfarm payr0lls
Here is the ec0n0mic calendar f0r the UK f0r august 2013. Examine indicat0rs like PMI,........ .. - Ans-Ab0ve
expectati0ns
This chart was captured in mid-2014. At that p0int in time, which 0f the f0ll0wing terms..... - Ans-
Decelerati0n
H0w have ec0n0mic f0recasts f0r this c0unty ev0lved? - Ans-Minimal Change
These charts sh0w data f0r f0ur c0untries as 0f early 2016. F0r each c0untry, the purple line.... - Ans-
Russia