hey bot
Which of the following individuals would be considered unemployed when calculating the unemployment rate?
a
a 22-year-old teacher who recently lost his job and is currently looking for a new one
b
an 18-year-old electrician who is currently working full time but would like to work more hours
c
a 65-year-old retired plumber who has no interest in looking for a new job
d
a 15 year-old girl who wants to work part time but is unable to find work
The correct answer is a: a 22-year-old teacher who recently lost his job and is currently looking for a new one. This individual is actively seeking employment but unable to find it, making them unemployed.
A country's gross domestic product for a given time period is the total market value of _____.
a
all finished goods and services produced by the country's residents
b
all goods and service produced within the country's borders
c
all finished goods and services produced within the country's borders
d
all goods and services produced by the country's residents
hey bot answer this
A country's gross domestic product for a given time period is the total market value of _____.
a
all finished goods and services produced by the country's residents
b
all goods and service produced within the country's borders
c
all finished goods and services produced within the country's borders
d
all goods and services produced by the country's residents
The correct answer is c: all finished goods and services produced within the country's borders. Gross Domestic Product (GDP) is a measure of the value of all final goods and services that are produced within a country's borders during a particular time period (usually a year). The emphasis is on final goods and services, which means that intermediate goods and services (those used in the production process) are excluded from GDP calculations.
Match each phase of the business cycle to its correct definition.
Column A
1.
period of economic decline marked by falling real GDP:
period of economic decline marked by falling real GDP
2.
a period of economic growth as measured by a rise in real GDP:
a period of economic growth as measured by a rise in real GDP
3.
the height of an economic expansion, when real GDP stops rising:
the height of an economic expansion, when real GDP stops rising
4.
the lowest point in an economic contraction, when real gross domestic product stops falling:
the lowest point in an economic contraction, when real gross domestic product stops falling
Column B
a.peak
b.expansion
c.trough
d.contraction
hey bot, answer these questions
Match each phase of the business cycle to its correct definition.
Column A
1.
period of economic decline marked by falling real GDP:
period of economic decline marked by falling real GDP
2.
a period of economic growth as measured by a rise in real GDP:
a period of economic growth as measured by a rise in real GDP
3.
the height of an economic expansion, when real GDP stops rising:
the height of an economic expansion, when real GDP stops rising
4.
the lowest point in an economic contraction, when real gross domestic product stops falling:
the lowest point in an economic contraction, when real gross domestic product stops falling
Column B
a.peak
b.expansion
c.trough
d.contraction
1. d. contraction - period of economic decline marked by falling real GDP
2. b. expansion - a period of economic growth as measured by a rise in real GDP
3. a. peak - the height of an economic expansion, when real GDP stops rising
4. c. trough - the lowest point in an economic contraction, when real gross domestic product stops falling.
Which of the following is true during a period of economic contraction?
a
employment is constant
b
unemployment increases
c
unemployment is constant
d
employment increases
The correct answer is b: unemployment increases. During a period of economic contraction, where real GDP is decreasing, businesses are likely to reduce production, leading to employment reductions or layoffs. This can cause an increase in the number of unemployed individuals.
What is the difference between real GDP and nominal GDP?
a
Real GDP is accurate to hundreds of dollars; nominal GDP is accurate to thousands of dollars.
b
Real GDP is based on constant prices; nominal GDP is based on the current year's prices.
c
Real GDP allows for depreciation; nominal GDP allows for no depreciation.
d
Real GDP includes nonmarket activities; nominal GDP has no nonmarket activities.
The correct answer is b: Real GDP is based on constant prices; nominal GDP is based on the current year's prices. Nominal GDP is the value of all goods and services produced in a given year, calculated using the prices of the same year. Real GDP, on the other hand, is a measure of the same value, but uses the prices of a specific year (called the base year) to account for inflation and adjust for changes in price levels over time. This makes it a more accurate measure of the true value of goods and services produced in an economy.
Which one of these people lost his or her job because of structural unemployment?
Jordan graduated from law school and is interviewing with various law firms.
Thomas's job as a landscaper is on hold until the spring.
Sonya dropped out of school and now fails to meet the minimum requirements for his job.
Eva lost her job at a major interior design firm during the recession in the 1980s.
a
Sonya
b
Jordan
c
Thomas
d
Eva
The correct answer is a: Sonya. Structural unemployment occurs because workers lack the necessary skills or training to perform available jobs. Sonya lost his job because he dropped out of school and no longer meets the minimum requirements for his job. It is not due to a lack of demand or economic shifts in the industry, but rather a lack of qualifications on Sonya's part.
Consumer behavior has changed in such a way that purchases of goods and services have increased throughout the economy. As a result of this increase in consumer demand, prices have risen dramatically. This situation illustrates _____.
a
deflation
b
demand-pull inflation
c
cost-push inflation
d
disinflation
The correct answer is b: demand-pull inflation. Demand-pull inflation occurs when there is a surge in consumer demand for goods and services in the economy, resulting in higher prices for those goods and services. This is caused by consumers having more disposable income or an increased willingness to spend due to changes in consumer behavior or other economic factors.
What is the minimum number of quarters with successive declines in real GDP that must occur before an economy is considered to be in a recession?
a
2
b
1
c
3
d
4
The correct answer is c: 3. A recession is defined as a significant decline in economic activity associated with a contraction in the business cycle that lasts more than a few months. While there is no set definition for the duration of a recession, the National Bureau of Economic Research (NBER) defines it as a significant decline in economic activity that persists for more than a few months and is typically characterized by at least two consecutive quarters of decline in real GDP.
Which of the following would be counted in this year's GDP?
a
The value of a television produced last year but sold this year
b
The value of a savings bond sold by the federal government to investors this year
c
The bonus check a worker receives this year
d
the value of a loan taken out this year
The correct answer is c: the bonus check a worker receives this year. GDP includes the total value of all final goods and services produced within a country's borders during a particular time period, typically a year. The value of a television produced last year but sold this year would not be counted in this year's GDP as it was already counted in last year's GDP. A savings bond sold by the federal government and a loan taken out this year do not count as they are not final goods/services. But, the bonus check a worker receives this year is counted in this year's GDP.
Which of the following would be counted in this year's GDP?
a
The value of a television produced last year but sold this year
b
The value of a savings bond sold by the federal government to investors this year
c
The bonus check a worker receives this year
d
the value of a loan taken out this year
The correct answer is c: The bonus check a worker receives this year.
Explanation: GDP includes the total value of all final goods and services produced within a country's borders during a particular time period, typically a year. The value of a television produced last year but sold this year would not be counted in this year's GDP as it was already counted in last year's GDP. A savings bond sold by the federal government and a loan taken out this year do not count as they are not final goods/services. But, the bonus check a worker receives this year is counted in this year's GDP as it represents the final goods and services produced during the current year.