ECON 200 UOFA LATEST
EXAM 3
A - ANSWERS-Which of the following is included in determining
Gross Domestic Product?
(a) The purchase of a new car.
(b) The purchase of a used car.
(c) A housewife preparing breakfast.
(d) A gardener canning vegetables for consumption during the winter.
(b) economic activity that is hidden from the government to avoid taxes
or because the activity is illegal. - ANSWERS-The underground
economy can be described as:
(a) economic production that includes mining.
(b) economic activity that is hidden from the government to avoid taxes
or because the activity is illegal.
(c) production of infrastructure that spurs growth in the rest of the
economy.
(d) production of intermediate goods and services.
D - ANSWERS-How is GDP measured?
(a) GDP is measured by adding the quantities of goods and services
produced in a given year.
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, ECON 200 UOFA LATEST
EXAM 3
(b) GDP is measured by adding up all the intermediate sales throughout
the year.
(c) GDP is measured using stock market values, or stock prices.
(d) GDP is measured by adding the market value of final goods and
services produced throughout the economy in a given time period.
D. Consumption - ANSWERS-The largest component of American GDP
is: _________.
(a) income
(b) profits
(c) investment (d) consumption
Inflation, an increase in production - ANSWERS-___________ causes
nominal GDP to rise; but ___________ causes real GDP to rise.
(a) inflation, a decrease in production
(b) inflation, an increase in production
(c) deflation, a decrease in production (d) deflation, an increase in
production
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2
, ECON 200 UOFA LATEST
EXAM 3
(b) frictionally unemployed. - ANSWERS-Bob is a highly qualified
worker who is unemployed but looking for work. His expertise is in a
small field and new jobs only open up sporadically. While he is waiting
for one of those openings he is considered:
(a) structurally unemployed.
(b) frictionally unemployed.
(c) underemployed.
(d) a discouraged worker.
20% - ANSWERS-The unemployment rate reported by the media is
known as U-3. Broader measures of unemployment include people who
are marginally connected to the workforce. Those broader measures
indicate that the true level of unemployment and underemployment is
close to
structurally unemployed. - ANSWERS-Alex is unemployed but looking
for work. For many years he worked as a video store manager for
Blockbuster, but since 2013 he has been unable to find a similar position
because his position is now redundant. He is considered
(a) structurally unemployed.
(b) frictionally unemployed. (c) underemployed.
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PAGE
3
EXAM 3
A - ANSWERS-Which of the following is included in determining
Gross Domestic Product?
(a) The purchase of a new car.
(b) The purchase of a used car.
(c) A housewife preparing breakfast.
(d) A gardener canning vegetables for consumption during the winter.
(b) economic activity that is hidden from the government to avoid taxes
or because the activity is illegal. - ANSWERS-The underground
economy can be described as:
(a) economic production that includes mining.
(b) economic activity that is hidden from the government to avoid taxes
or because the activity is illegal.
(c) production of infrastructure that spurs growth in the rest of the
economy.
(d) production of intermediate goods and services.
D - ANSWERS-How is GDP measured?
(a) GDP is measured by adding the quantities of goods and services
produced in a given year.
END OF
PAGE
1
, ECON 200 UOFA LATEST
EXAM 3
(b) GDP is measured by adding up all the intermediate sales throughout
the year.
(c) GDP is measured using stock market values, or stock prices.
(d) GDP is measured by adding the market value of final goods and
services produced throughout the economy in a given time period.
D. Consumption - ANSWERS-The largest component of American GDP
is: _________.
(a) income
(b) profits
(c) investment (d) consumption
Inflation, an increase in production - ANSWERS-___________ causes
nominal GDP to rise; but ___________ causes real GDP to rise.
(a) inflation, a decrease in production
(b) inflation, an increase in production
(c) deflation, a decrease in production (d) deflation, an increase in
production
END OF
PAGE
2
, ECON 200 UOFA LATEST
EXAM 3
(b) frictionally unemployed. - ANSWERS-Bob is a highly qualified
worker who is unemployed but looking for work. His expertise is in a
small field and new jobs only open up sporadically. While he is waiting
for one of those openings he is considered:
(a) structurally unemployed.
(b) frictionally unemployed.
(c) underemployed.
(d) a discouraged worker.
20% - ANSWERS-The unemployment rate reported by the media is
known as U-3. Broader measures of unemployment include people who
are marginally connected to the workforce. Those broader measures
indicate that the true level of unemployment and underemployment is
close to
structurally unemployed. - ANSWERS-Alex is unemployed but looking
for work. For many years he worked as a video store manager for
Blockbuster, but since 2013 he has been unable to find a similar position
because his position is now redundant. He is considered
(a) structurally unemployed.
(b) frictionally unemployed. (c) underemployed.
END OF
PAGE
3
