This quiz works best with JavaScript enabled. Home > Macroeconomics > Gdp > Gdp – Quiz 11 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Gdp Quiz 11 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. 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. 2. It deals with the economic behavior of individual units. A) Macroeconomics. B) Microeconomics. C) Labor. D) Land. Show Answer Correct Answer: B) Microeconomics. 3. What does the (X-M) mean in the expenditure model for GDP? A) Income-Taxes. B) Taxes-Imports. C) Spending Exports. D) Exports-Imports. Show Answer Correct Answer: D) Exports-Imports. 4. ..... always decreases purchasing power A) Fiscal policies. B) Inflation. C) Monopoly. D) Trade barriers. Show Answer Correct Answer: B) Inflation. 5. 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. 6. Business spending is also called A) Investment. B) Capital gains. C) Profit. D) Expenses. Show Answer Correct Answer: A) Investment. 7. 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. 8. What is the equation of GDP? A) C + I + (X+N). B) C + I + G. C) C + I + G + (X-N). D) C + G + U + (X+N). Show Answer Correct Answer: C) C + I + G + (X-N). 9. 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. 10. In the following equation, what does X represent?GDP= C+I+G+(X-M) A) Money. B) Consumer spending. C) Exports. D) Imports. Show Answer Correct Answer: C) Exports. 11. 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. 12. ..... GDP is the total value of all production in one year measured at current prices. ..... GDP is the total value of all production in one year adjusted for inflation. A) Real, nominal. B) Real, per capita. C) Nominal, per capita. D) Nominal, real. Show Answer Correct Answer: D) Nominal, real. 13. Old Mr. Davidson collects a Social Security check every month. Is this included in government spending? A) Yes-Government spending. B) Yes-Consumer Spending. C) No-Intermediate Goods. D) No-Purely financial Transaction. Show Answer Correct Answer: D) No-Purely financial Transaction. 14. A balanced budget is best described as which of the following A) Revenue is greater than expenses. B) Revenue is less than expenses. C) Revenue is equal to expenses. D) Expenses is greater than revenue. Show Answer Correct Answer: C) Revenue is equal to expenses. 15. Equilibrium in the loanable funds market determines the: A) Nominal interest rate. B) Current interest rate. C) Real interest rate. D) Expected interest rate. Show Answer Correct Answer: C) Real interest rate. 16. Which of the following goods is included in GDP? A) Dresses. B) Screws used in a cruise missile. C) Flour for making bread. D) Cloth for making dresses. Show Answer Correct Answer: A) Dresses. 17. Inflation means that: A) All prices are rising, but at different rates. B) All prices are rising and at the same rate. C) Prices in the aggregate are rising, although some particular prices may be falling. D) Real incomes are rising. Show Answer Correct Answer: C) Prices in the aggregate are rising, although some particular prices may be falling. 18. The calculation of GDP would include A) Profits on the sale of a 25-year-old house. B) The monetary value of someone babysitting in exchange for a room. C) The income of a high school English teacher. D) The price of the steel used to build a new hotel. Show Answer Correct Answer: C) The income of a high school English teacher. 19. If the government hires a private company to fix a road, then ..... A) GOP doesn't change b/c taxpayers are paying the bill. B) GDP doesn't change b/c the government isn't building new roads. C) GDP increases. D) GDP decreases. Show Answer Correct Answer: C) GDP increases. 20. Real GDP is: A) GDP adjusted for changes in output. B) Nominal GDP adjusted for inflation. C) GDP adjusted for standard of living. D) Nominal GDP adjusted for population. Show Answer Correct Answer: B) Nominal GDP adjusted for inflation. ← PreviousNext →Related QuizzesMacroeconomics QuizzesGdp Quiz 1Gdp Quiz 2Gdp Quiz 3Gdp Quiz 4Gdp Quiz 5Gdp Quiz 6Gdp Quiz 7Gdp Quiz 8Gdp Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books