ECN 211 EXAM 2 ASU Test Questions
with All Solved Solutions 2026-2027
Updated.
GDP is - Answer value of all final goods and services produced within a country in a given
period of time.
Y = C + I + G + NX - Answer Y = economy's total expenditure
C = consumption in economy
I = imports in economy
G = government spending
NX = net exports
Net exports equal - Answer exports minus imports
CPI is used to - Answer monitor changes in the cost of living over time
Inflation rate - Answer percentage change in the price level from the previous period
Indexation refers to - Answer using a law or contract to automatically correct a dollar amount
for the effects of inflation
For the Bureau of Labor Statistics to place someone in the "unemployed" category, that person
must - Answer be available for work
Labor-force participation rate tells us the fraction of the population that - Answer has chosen
to participate in the labor market
People who are unemployed because they are in search of a job that suits their skills are
included within - Answer frictional unemployment
The natural unemployment rate includes - Answer both frictional and structural
unemployment
Wages set above the equilibrium wage by - Answer firms to increase productivity are called
efficiency wages
, Who in the adult population is counted as "employed" in U.S. labor statistics? - Answer people
who are temporarily absent from their job and people who work without pay in a family
member's
busines
Measure productivity by - Answer Divide the quantity of output by the number of hours
worked
Industrial machinery is an example of - Answer -factor of production that in the past was an
output from the production process
-physical capital.
-something that influences productivity
Cyclical unemployment is closely associated with - Answer short-run ups and downs of the
economy
Calculate GDP - Answer GDP=C+I+G+(X-Im)
Real vs. Nominal GDP - Answer real values are adjusted for inflation, while nominal values are
not. As a result, nominal GDP will often appear higher than real GDP
Intermediate vs. Final Goods - Answer intermediate goods-goods used in the production of
final goods
final goods- final goods are the goods which are ready for sale in the market
Expenditure Approach - Answer The national income accounting method that measures GDP
by adding all the spending for final goods during a period of time
-One way to measures GDP
-GDP = C + I + G + (X - M)
Problems with GDP - Answer -Nonmarket Transactions
-Distribution, Kind, and Quality of Products
-Neglect of Leisure Time
-The Underground Economy
-Economic Bads
Unemployement - Answer
with All Solved Solutions 2026-2027
Updated.
GDP is - Answer value of all final goods and services produced within a country in a given
period of time.
Y = C + I + G + NX - Answer Y = economy's total expenditure
C = consumption in economy
I = imports in economy
G = government spending
NX = net exports
Net exports equal - Answer exports minus imports
CPI is used to - Answer monitor changes in the cost of living over time
Inflation rate - Answer percentage change in the price level from the previous period
Indexation refers to - Answer using a law or contract to automatically correct a dollar amount
for the effects of inflation
For the Bureau of Labor Statistics to place someone in the "unemployed" category, that person
must - Answer be available for work
Labor-force participation rate tells us the fraction of the population that - Answer has chosen
to participate in the labor market
People who are unemployed because they are in search of a job that suits their skills are
included within - Answer frictional unemployment
The natural unemployment rate includes - Answer both frictional and structural
unemployment
Wages set above the equilibrium wage by - Answer firms to increase productivity are called
efficiency wages
, Who in the adult population is counted as "employed" in U.S. labor statistics? - Answer people
who are temporarily absent from their job and people who work without pay in a family
member's
busines
Measure productivity by - Answer Divide the quantity of output by the number of hours
worked
Industrial machinery is an example of - Answer -factor of production that in the past was an
output from the production process
-physical capital.
-something that influences productivity
Cyclical unemployment is closely associated with - Answer short-run ups and downs of the
economy
Calculate GDP - Answer GDP=C+I+G+(X-Im)
Real vs. Nominal GDP - Answer real values are adjusted for inflation, while nominal values are
not. As a result, nominal GDP will often appear higher than real GDP
Intermediate vs. Final Goods - Answer intermediate goods-goods used in the production of
final goods
final goods- final goods are the goods which are ready for sale in the market
Expenditure Approach - Answer The national income accounting method that measures GDP
by adding all the spending for final goods during a period of time
-One way to measures GDP
-GDP = C + I + G + (X - M)
Problems with GDP - Answer -Nonmarket Transactions
-Distribution, Kind, and Quality of Products
-Neglect of Leisure Time
-The Underground Economy
-Economic Bads
Unemployement - Answer
