What is the difference between durable and nondurable goods?
Durable goods last a relatively long time. Nondurable goods last for a short period of time.
100
What is the GDP measured in current prices called?
Nominal GDP
100
Which of the following is NOT an example of the "underground economy?"
A. purchasing items on the black market
B. selling your car to a friend
C. a salesman selling jewelry
D. trading your stereo for a bike
C. A salesman selling jewelry
100
What is the main source all other measurements are derived from?
GDP
100
Aggregate supply is like a supply curve for what?
A whole economy
200
Name two of the categories of final goods and services of the expenditure approach?
Consumer, business, government, and net exports/imports
200
What is nominal GDP sometimes called?
"Current" GDP
200
GDP is especially good at measuring which of the following?
A. People's well-being
B. Negative externalities
C. Economic growth rates
D. All of the above
C. Economic growth rates
200
What does GNP not account for?
Depreciation
200
As individuals and business change how much they buy, what is moving up and down?
Price levels
300
You just bought a brand new shed! What would be included in its GDP?
A. The price of wood, nails, etc. that are used to make the shed
B. Just the price of the completed shed
B. Just the price of the completed shed
300
What is the difference between nominal and real GDP?
Nominal is current prices. Real is expressed in constant, unchanging prices.
300
All of the following are limitations of GDP except:
A. Positive externalities
B. Negative externalities
C. The underground economy
D. Nonmarket activities
A. Positive externalities
300
What is how much money people actually have to spend?
DPI (Disposable Personal Income)
300
Any shift in the aggregate supply and aggregate demand will have an impact on what two things?