ECON 248 - Quiz 2 QUESTIONS AND CORRECT
DETAILED ANSWERS (VERIFIED ANSWERS) |
GRADED A+ | NEW UPDATE 2025-2026
Gross domestic product is
Select one:
a. the market value of all goods and services produced in a country during a given
time period.
b. the market value of all the final goods and services produced in a country
during a given time period.
c. the final value of all goods produced in a country in a given time period.
d. the market value of all the intermediate goods and services produced in a
country during a given time period.
e. the average value of output produced in a country in a given time period. -
ANSWERS b. the market value of all the final goods and services produced in a
country during a given time period.
In the circular flow model,
Select one:
a. households are buyers of goods and services in goods markets.
b. firms are buyers of goods and services in final markets.
c. firms are sellers of the factors in factor markets.
d. households are sellers of factor services in goods markets.
e. firms are sellers of goods and services in factor markets. - ANSWERS a.
households are buyers of goods and services in goods markets.
, Which of the following is an expenditure flow from households to firms?
Select one:
a. goods and services
b. factor services
c. loans
d. payments for factor services
e. payments for goods and services - ANSWERS e. payments for goods and
services
A bakery uses flour to produce bread.
When calculating GDP, we include ________, because when we add the value of
the flour to the value of the loaf of bread to calculate GDP, the result is ________.
Select one:
a. both the value of the bread sold in a store and the value of the flour used to
produce the bread / double counting
b. both the value of the bread sold in a store and the value of the flour used to
produce the bread / the true value of the economy's output
c. only the value of the flour used to produce the bread / double counting
d. only the value of the bread sold in a store / double counting
e. None of the above combinations is correct. - ANSWERS d. only the value of
the bread sold in a store / double counting
Suppose the economy of Econoworld produces only two goods: kayaks and
birdseed. In one year, 20 kayaks are produced and sold for $1000 each and 10
bags of birdseed are produced and sold for $30 each. The value of nominal GDP
for this year is
DETAILED ANSWERS (VERIFIED ANSWERS) |
GRADED A+ | NEW UPDATE 2025-2026
Gross domestic product is
Select one:
a. the market value of all goods and services produced in a country during a given
time period.
b. the market value of all the final goods and services produced in a country
during a given time period.
c. the final value of all goods produced in a country in a given time period.
d. the market value of all the intermediate goods and services produced in a
country during a given time period.
e. the average value of output produced in a country in a given time period. -
ANSWERS b. the market value of all the final goods and services produced in a
country during a given time period.
In the circular flow model,
Select one:
a. households are buyers of goods and services in goods markets.
b. firms are buyers of goods and services in final markets.
c. firms are sellers of the factors in factor markets.
d. households are sellers of factor services in goods markets.
e. firms are sellers of goods and services in factor markets. - ANSWERS a.
households are buyers of goods and services in goods markets.
, Which of the following is an expenditure flow from households to firms?
Select one:
a. goods and services
b. factor services
c. loans
d. payments for factor services
e. payments for goods and services - ANSWERS e. payments for goods and
services
A bakery uses flour to produce bread.
When calculating GDP, we include ________, because when we add the value of
the flour to the value of the loaf of bread to calculate GDP, the result is ________.
Select one:
a. both the value of the bread sold in a store and the value of the flour used to
produce the bread / double counting
b. both the value of the bread sold in a store and the value of the flour used to
produce the bread / the true value of the economy's output
c. only the value of the flour used to produce the bread / double counting
d. only the value of the bread sold in a store / double counting
e. None of the above combinations is correct. - ANSWERS d. only the value of
the bread sold in a store / double counting
Suppose the economy of Econoworld produces only two goods: kayaks and
birdseed. In one year, 20 kayaks are produced and sold for $1000 each and 10
bags of birdseed are produced and sold for $30 each. The value of nominal GDP
for this year is
