This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Gdp > Gdp – Quiz 7 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Gdp Quiz 7 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What does the I stand for in the GDP formula? A) Income. B) Investment. C) Internet. D) None of above. Show Answer Correct Answer: B) Investment. 2. The unemployment rate is calculated by A) All the people in the USA who don't have a job divided by the total population. B) All those in the labor force who want to work, but cannot find work divided by the total non institutionalized civilian population. C) Anyone without a job. D) None of above. Show Answer Correct Answer: B) All those in the labor force who want to work, but cannot find work divided by the total non institutionalized civilian population. 3. Costco builds a new store in Fayetteville, GA. Where would this show up in the GDP formula? A) Consumption. B) Government Spending. C) Exports-Imports. D) Investment. Show Answer Correct Answer: D) Investment. 4. Who is most hurt by inflation A) Alex, who won lottery. B) Jasmine, retired person with COLA. C) Brandon, college student. D) Juan, who is on a fixed income. Show Answer Correct Answer: D) Juan, who is on a fixed income. 5. A businessman buys a machine to produce tires A) Consumer spending. B) Government spending. C) Investment spending. D) Net exports of goods and services. Show Answer Correct Answer: C) Investment spending. 6. The "C" in the GDP equation stands for A) Cost of living. B) Consumer Spending. C) Calculations. D) Customer Costs. Show Answer Correct Answer: B) Consumer Spending. 7. When a company buys new computers for their business, what part of the GDP equation does this count as? A) Imports. B) Investments. C) Consumption. D) Exports. Show Answer Correct Answer: B) Investments. 8. Extrinsic motivation is A) A bribe. B) Could be money. C) Something tangible. D) All of these. Show Answer Correct Answer: D) All of these. 9. Canadian citizens buy American-made Blu-Rays. For the US economy it falls under ..... A) Government purchases increases. B) Export spending increases. C) Investment spending increases. D) Consumption spending increases. Show Answer Correct Answer: B) Export spending increases. 10. Government closes schools for the month of March. A) GDP decreases. B) GDP increases. C) No change. D) None of above. Show Answer Correct Answer: A) GDP decreases. 11. Welfare payments A) Not counted in GDP. B) Investment spending. C) Consumer spending. D) Government spending. Show Answer Correct Answer: A) Not counted in GDP. 12. The largest sector of the macroeconomy is the A) Investment Sector. B) Export Sector. C) Government Sector. D) Consumer Sector. Show Answer Correct Answer: D) Consumer Sector. 13. If the economy is at full employment, then the unemployment rate A) Is equal to the natural rate of unemployment. B) Is below the natural rate of unemployment. C) Is equal to zero. D) Is greater than the natural rate of unemployment. Show Answer Correct Answer: A) Is equal to the natural rate of unemployment. 14. You buy some Toblerone chocolate manufactured in Switzerland. Where would this show up in the GDP formula? A) Government Spending. B) Exports-Imports. C) Consumption. D) Investment. Show Answer Correct Answer: B) Exports-Imports. 15. What is the total value of all final goods and services produced within a country in a given time? A) Nominal GDP. B) NNP. C) Total GDP. D) Real GDP. Show Answer Correct Answer: D) Real GDP. 16. Which variable constitutes the largest portion of GDP using the expenditure method? A) NX. B) GPDI (I). C) C. D) G. Show Answer Correct Answer: C) C. 17. What is the 1st economic goal of each country? A) Limit Unemployment. B) Limit Inflation. C) Measure expenditures. D) Promote Economic Growth. Show Answer Correct Answer: D) Promote Economic Growth. 18. Which of the following is the best measurement of economic growth? A) Real GDP. B) Real GDP per capita. C) Nominal GDP. D) GDP per capita. Show Answer Correct Answer: A) Real GDP. 19. Retail sales are a good indication of A) Consumer spending patterns. B) Buying habits. C) The health of the economy. D) All of these. Show Answer Correct Answer: D) All of these. 20. After people pay their taxes, the amount of money they have left is called A) Aggregate income. B) Personal income. C) National income. D) Disposable personal income. Show Answer Correct Answer: D) Disposable personal income. 21. It deals with the economic behavior of individual units. A) Macroeconomics. B) Microeconomics. C) Labor. D) Land. Show Answer Correct Answer: B) Microeconomics. 22. What does the (X-M) mean in the expenditure model for GDP? A) Taxes-Imports. B) Income-Taxes. C) Spending Exports. D) Exports-Imports. Show Answer Correct Answer: D) Exports-Imports. 23. ..... always decreases purchasing power A) Inflation. B) Fiscal policies. C) Trade barriers. D) Monopoly. Show Answer Correct Answer: A) Inflation. 24. The expenditure by households on consumption goods and services. A) Business Cycle. B) Exports of goods and services. C) Consumption expenditure. D) Government expenditure on goods and services. Show Answer Correct Answer: C) Consumption expenditure. 25. Business spending is also called A) Investment. B) Expenses. C) Profit. D) Capital gains. Show Answer Correct Answer: A) Investment. 26. GDP divided by a country's total population results in A) GDP. B) GDP per Country. C) GDP per Capita. D) None of above. Show Answer Correct Answer: C) GDP per Capita. 27. What is the equation of GDP? A) C + G + U + (X+N). B) C + I + G + (X-N). C) C + I + (X+N). D) C + I + G. Show Answer Correct Answer: B) C + I + G + (X-N). 28. The expenditure by all levels of government on goods and services A) Imports of goods and services. B) Investment. C) Consumer expenditure. D) Government expenditure on goods and services. Show Answer Correct Answer: D) Government expenditure on goods and services. 29. In the following equation, what does X represent?GDP= C+I+G+(X-M) A) Imports. B) Consumer spending. C) Exports. D) Money. Show Answer Correct Answer: C) Exports. 30. Milk, Bread, Eggs, Bacon. These goods are: A) Durable goods. B) Non-durable goods. C) Agricultural goods. D) None of these options. Show Answer Correct Answer: B) Non-durable goods. ← PreviousNext →Related QuizzesMacroeconomics QuizzesEconomics QuizzesGdp Quiz 1Gdp Quiz 2Gdp Quiz 3Gdp Quiz 4Gdp Quiz 5Gdp Quiz 6Gdp Quiz 8Gdp Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books