#1
Which of the following is NOT a macroeconomic indicator?
Company Profit Margin
ExplanationIt's a microeconomic indicator, focusing on individual company performance.
#2
What does GDP stand for?
Gross Domestic Product
ExplanationIt measures the total value of goods and services produced within a country's borders.
#3
Which of the following is NOT a component of GDP?
Investment in Stocks
ExplanationStock investment is financial, not a direct contribution to production.
#4
What does CPI measure?
Inflation
ExplanationIt tracks changes in the price level of a basket of consumer goods and services.
#5
What is the formula to calculate GDP?
GDP = Consumption + Investment + Government Spending + Net Exports
ExplanationIt sums up all expenditures within the economy, including exports and imports.
#6
Which of the following best describes the Phillips Curve?
A curve representing the relationship between inflation and unemployment
ExplanationIt illustrates the inverse relationship between unemployment and inflation.
#7
Which of the following is considered a leading indicator of economic activity?
Building Permits
ExplanationIt signals future construction activity and economic expansion.
#8
What is the difference between nominal GDP and real GDP?
Real GDP is adjusted for inflation, while nominal GDP is not
ExplanationReal GDP accounts for inflation's impact, providing a more accurate economic measure.