#1
What is the primary indicator used to measure the level of economic activity within a country?
Consumer Price Index (CPI)
Unemployment rate
Gross Domestic Product (GDP)
Inflation rate
#2
What is the term for the total value of goods and services produced within a country's borders in a specific time period?
Gross National Product (GNP)
Net Domestic Product (NDP)
Gross Domestic Product (GDP)
Net National Product (NNP)
#3
What economic indicator measures the percentage change in prices of a basket of goods and services over time?
Gross Domestic Product (GDP)
Consumer Price Index (CPI)
Unemployment rate
Inflation rate
#4
What is the term for the percentage of the labor force that is unemployed and actively seeking employment?
Labor force participation rate
Underemployment rate
Unemployment rate
Discouraged worker rate
#5
In economics, what does the term 'opportunity cost' refer to?
The cost of goods and services
The cost of production
The cost of alternative choices
The cost of labor
#6
Which of the following is a characteristic of a recession?
High inflation rates
Low unemployment rates
Decrease in GDP
Increased consumer spending
#7
Which of the following is NOT a component of Gross Domestic Product (GDP)?
Government spending
Investment
Imports
Personal savings
#8
What effect does an increase in interest rates typically have on consumer spending?
Decreases consumer spending
Increases consumer spending
No effect on consumer spending
Increases consumer saving
#9
Which of the following is an example of a fiscal policy tool used to stimulate economic activity?
Increasing taxes
Decreasing government spending
Raising interest rates
Implementing expansionary government spending
#10
Which of the following is a characteristic of a boom phase in the business cycle?
Low consumer confidence
High unemployment rates
Rapid economic growth
Decrease in consumer spending
#11
In macroeconomics, what does the term 'stagflation' refer to?
High inflation and low unemployment
High inflation and high unemployment
Low inflation and low unemployment
Low inflation and high unemployment
#12
Which of the following is a characteristic of a recessionary gap in the economy?
Actual output exceeds potential output
Potential output exceeds actual output
Both actual and potential output are equal
Decrease in aggregate demand
#13
Which of the following is NOT a characteristic of monopolistic competition?
Many firms in the market
Identical products sold by all firms
Low barriers to entry
Some degree of market power for each firm