Econ 200 Final Exam 2026\NEWEST VERSION WITH
COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS\UPDATED EXAM 2025 -2026 \BRAND
NEW!!(Macroeconomics)
A U.S. consumer buys toys made in China. What
consumption, imports
components of GDP are included in this?
Consumption (C), five components of GDP...
Investments (I), Government
Spending (G), Exports (X),
Imports (M)
C+I+G+(X-M) GDP Formula...
rises, fall During recessions unemployment rate (falls / rises) and profits
(fall / rise)
5% ((210 - 200) / 200) If the GDP deflator in 2015 was 210 and the GDP deflator in
2014 was 200, then the inflation rate in 2015 was...
100 the deflator always equal in the base year
nominal GDP / real GDP GDP deflator =
base-year, current Real GDP is computed by using __________ prices and
quantities
current, current Nominal GDP is computed using ________ prices and
quantities
Suppose an economy produces only eggs and ham. In 2015, 100
dozen eggs are sold at $4.50 per dozen and 50 pounds of ham
sold at $3 per pound. In 2014, the base year, eggs sold at $3
per dozen and ham sold at $4 per pound. For 2015...
1. nominal GDP =
$600, $500, 83.3
2. real GDP =
3. GDP deflator =
,production of goods and real GDP will decrease only when ? decreases
services
prices or production of nominal GDP will decrease when ? decreases
goods and services
An economy recently had nominal GDP of 5 trillion euro
4 trillion euro
and a GDP deflator of 125. What was real GDP?
If in some year real GDP was $45 billion and the GDP
$58.5 billion
deflator was 130, what was nominal GDP?
Because it reflects only changes in quantities produced GDP is a
real
better gauge
of economic activity
Suppose that twenty-five years ago a country had
nominal GDP of $2,000,000, a GDP deflator of 100,
not change
and a population of 200. Today it has nominal GDP
of
$3,000,000 a GDP deflator of 200, and population of
150. Did real GDP increase, decrease, or not change?
false (measures a country's T or F: A country with a higher level of real GDP per
economic well being not person necessarily has a higher standard of living
standard of living) than a country with a lower level of real GDP per
person.
T or F: GDP excludes most underground economic activity. The
true amount of
underground economic activity tends to be larger
relative to real GDP in countries that are less
developed than in countries that are developed.
includes both illegal transactions and otherwise legal
underground economy
transactions that go unreported.
consumers buy more coffee Coffee is weighted more than tea in the calculation of the CPI
than tea only if...
100 the base year for consumer price index (CPI) equals _______
Bureau of Labor Statistics Who calculates and reports the CPI?
(BLS)
monthly How often is CPI reported?
The CPI value in 2013 is 90 and the annual inflation rate is
95.4
6%. The CPI value in 2014 is...
inflation A general increase in the price level of goods and services in an
economy
, when the inflation rate is high, but economic growth is
stagflation
slow with higher unemployment
economic growth the change in GDP over time
GDP deflator and CPI inflation can be measured using both _____________ & _________
COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS\UPDATED EXAM 2025 -2026 \BRAND
NEW!!(Macroeconomics)
A U.S. consumer buys toys made in China. What
consumption, imports
components of GDP are included in this?
Consumption (C), five components of GDP...
Investments (I), Government
Spending (G), Exports (X),
Imports (M)
C+I+G+(X-M) GDP Formula...
rises, fall During recessions unemployment rate (falls / rises) and profits
(fall / rise)
5% ((210 - 200) / 200) If the GDP deflator in 2015 was 210 and the GDP deflator in
2014 was 200, then the inflation rate in 2015 was...
100 the deflator always equal in the base year
nominal GDP / real GDP GDP deflator =
base-year, current Real GDP is computed by using __________ prices and
quantities
current, current Nominal GDP is computed using ________ prices and
quantities
Suppose an economy produces only eggs and ham. In 2015, 100
dozen eggs are sold at $4.50 per dozen and 50 pounds of ham
sold at $3 per pound. In 2014, the base year, eggs sold at $3
per dozen and ham sold at $4 per pound. For 2015...
1. nominal GDP =
$600, $500, 83.3
2. real GDP =
3. GDP deflator =
,production of goods and real GDP will decrease only when ? decreases
services
prices or production of nominal GDP will decrease when ? decreases
goods and services
An economy recently had nominal GDP of 5 trillion euro
4 trillion euro
and a GDP deflator of 125. What was real GDP?
If in some year real GDP was $45 billion and the GDP
$58.5 billion
deflator was 130, what was nominal GDP?
Because it reflects only changes in quantities produced GDP is a
real
better gauge
of economic activity
Suppose that twenty-five years ago a country had
nominal GDP of $2,000,000, a GDP deflator of 100,
not change
and a population of 200. Today it has nominal GDP
of
$3,000,000 a GDP deflator of 200, and population of
150. Did real GDP increase, decrease, or not change?
false (measures a country's T or F: A country with a higher level of real GDP per
economic well being not person necessarily has a higher standard of living
standard of living) than a country with a lower level of real GDP per
person.
T or F: GDP excludes most underground economic activity. The
true amount of
underground economic activity tends to be larger
relative to real GDP in countries that are less
developed than in countries that are developed.
includes both illegal transactions and otherwise legal
underground economy
transactions that go unreported.
consumers buy more coffee Coffee is weighted more than tea in the calculation of the CPI
than tea only if...
100 the base year for consumer price index (CPI) equals _______
Bureau of Labor Statistics Who calculates and reports the CPI?
(BLS)
monthly How often is CPI reported?
The CPI value in 2013 is 90 and the annual inflation rate is
95.4
6%. The CPI value in 2014 is...
inflation A general increase in the price level of goods and services in an
economy
, when the inflation rate is high, but economic growth is
stagflation
slow with higher unemployment
economic growth the change in GDP over time
GDP deflator and CPI inflation can be measured using both _____________ & _________
