2023年宏观经济学题库.doc

Macroeconomics, 10e (Parkin)
Chapter 4 Measuring GDP and Economic Growth

1 Gross Domestic Product

1) Gross domestic product is the total ________ produced within a country in a given time period.
A) market value of all final and intermediate goods and services
B) market value of all goods and services
C) amount of final and intermediate goods and services
D) market value of all final goods and services
Answer: D
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

2) Gross domestic product
A) includes all the goods and none of the services produced in an economy in a given time period.
B) measures the value of the aggregate production of goods and services in a country during a given time period.
C) measures the value of labor payments generated in an economy in a given time period.
D) is generally less than federal expenditure in any time period.
Answer: B
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

3) Gross domestic product is a measure of the total value of all
A) sales in an economy over a period of time.
B) consumer income in an economy over a period of time.
C) capital accumulation in an economy over a period of time.
D) final goods and services produced in an economy over a period of time.
Answer: D
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

4) Gross domestic product (GDP) is the ________ in a given time period.
A) value of personal consumption expenditures, gross private domestic investment, and federal government expenditures
B) sum of wage and salary compensation of employees and corporate profits
C) value of all final and intermediate goods and services produced by the economy excluding those goods exported to foreign nations
D) market value of final goods and services produced by the economy
Answer: D
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
5) Gross domestic product (GDP) measures the
A) number of final goods and services produced in the economy in a given time period.
B) number of final goods and services sold in the economy in a given time period.
C) market value of old and new final goods and services sold in the economy in a given time period.
D) market value of final goods and services produced in the economy in a given time period.
Answer: D
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

6) GDP is defined as the market value of all ________ in a given time period.
A) final goods produced in a country
B) final goods and services produced by citizens of a particular country regardless of where in the world they are located
C) final goods and services produced in a country by only the citizens of the country
D) final goods and services produced in a country
Answer: D
Topic: GDP
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

7) In the definition of GDP, "market value" refers to
A) valuing production in production units.
B) not counting intermediate products.
C) valuing production according to the market price.
D) when the production took place.
Answer: C
Topic: Market Value
Skill: Recognition
Question history: Modified 10th edition
AACSB: Reflective Thinking
8) In the United States, GDP is typically measured
A) monthly.
B) quarterly.
C) daily.
D) weekly.
Answer: B
Topic: Time Period
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
9) If Nike, an American corporation, produces sneakers in Thailand this would
A) count as part of U.S. GDP since it is a U.S. corporation.
B) count for both Thailand's GDP and U.S GDP.
C) add to Thailand's GDP but not to U.S. GDP.
D) add to neither U.S. GDP nor Thailand's GDP.
Answer: C
Topic: Production
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

10) If Frito Lay, an American snack company, opens a new manufacturing facility in Mexico and produces snacks which are distributed in South America, then Mexico's GDP ________ and U.S. GDP ________.
A) increases; does not change
B) does not change; increases
C) increases; decreases
D) increases; increases
Answer: A
Topic: Production
Skill: Recognition
Question history: New 10th edition
AACSB: Reflective Thinking

11) The word "final" in the definition of GDP refers to
A) not counting intermediate goods or services.
B) the time period when production took place.
C) valuing production at market prices.
D) counting the intermediate goods and services used to produce GDP.
Answer: A
Topic: Final Good
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

12) A loaf of bread purchased by one of your instructors would be best described as
A) an intermediate good.
B) a financial asset.
C) a used good.
D) a final good.
Answer: D
Topic: Final Good
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
13) Which of the following is a final good?
A) the memory chips in your new smart phone
B) a share of IBM stock
C) flour purchased at the store to bake cookies
D) flour used by the bakery to bake cookies
Answer: C
Topic: Final Good
Skill: Recognition
Question history: New 10th edition
AACSB: Reflective Thinking

14) In 2023, Ozzie purchased a 2023 Ford Escort from his neighbor for his son, purchased a 2023 "one owner" Camry from Larchmont Toyota for his wife, bought a 2023 new Ford for himself, and sold his 2023 Dodge Caravan to his teenage nephew. Which, if any, of these transactions will be included in GDP in 2023?
A) all four transactions
B) all three purchases but not the sale
C) the purchase of the Ford and the Caravan
D) only the purchase of the Ford
Answer: D
Topic: Final Good
Skill: Conceptual
Question history: Modified 10th edition
AACSB: Reflective Thinking

15) Which of the following expenditures associated with the production of a new high-performance SUV will be directly included in GDP?
A) the sale of bonds to finance the construction of the assembly plant
B) the purchase of used welding robots to assemble to vehicles
C) the purchase of new tires to be installed on the new vehicles
D) the purchase of new machine tools to manufacture the engines
Answer: D
Topic: Final Good
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
16) Intermediate goods are excluded from GDP because
A) their inclusion would involve double counting.
B) they represent goods that have never been purchased so they cannot be counted.
C) their inclusion would understate GDP
D) the premise of the question is incorrect because intermediate goods are directly included in calculating GDP.
Answer: A
Topic: Intermediate Goods and Services
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
17) A ton of coal purchased by your local utility to burn to make electricity would be best described as
A) an intermediate good.
B) a financial asset.
C) a used good.
D) a final product.
Answer: A
Topic: Intermediate Goods and Services
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

18) Which of the following expenditures is for an intermediate good?
A) The government buys new tires for its military vehicles.
B) A U.S. tire firm sells new tires to Canada.
C) General Motors buys new tires to put on the cars it's building.

D) You buy new tires for your used car.
Answer: C
Topic: Intermediate Goods and Services
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

19) GDP does not directly include intermediate goods because
A) intermediate goods are not valuable.
B) intermediate goods are not useful to consumers.
C) that would count the intermediate goods twice.
D) that would understate the true size of GDP.
Answer: C
Topic: Intermediate Goods and Services
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

20) The calculation of the final goods and services sold in an economy would NOT include
A) the purchase of a lawnmower by a household.
B) General Motors' purchases of tires for new automobiles.
C) Ford Motor Company's purchase of a new industrial robot to be used to produce cars.
D) the purchase of a service by a household.
Answer: B
Topic: Intermediate Goods and Services
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
21) In computing GDP, it is essential to
A) avoid double counting.
B) include government transfer payments.
C) include government tax revenues.
D) count all intermediate products directly as they are produced.
Answer: A
Topic: Intermediate Goods and Services
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

22) Double counting (counting the same thing twice) in GDP accounting is avoided by not including
A) net exports.
B) intermediate goods.
C) illegal activities.
D) depreciation.
Answer: B
Topic: Intermediate Goods and Services
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

23) GDP counts only final goods and services because this
A) method avoids including any goods that are produced this year and sold next year.
B) method avoids double counting of goods going through several stages of production.
C) amount can be more easily determined in the marketplace.
D) method avoids understating the value of GDP produced during a given year.
Answer: B
Topic: Final Goods and Intermediate Goods
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

24) The circular flow model shows that consumer goods and services produced by business firms are sold in the
A) goods market.
B) factor market.
C) labor market.
D) financial market.
Answer: A
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
25) The factor market can best be described as where
A) households buy goods and services.
B) firms buy goods and services.
C) firms buy the services of labor, land and capital.
D) governments sell goods and services.
Answer: C
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

26) In the circular flow of income
A) households demand goods and services that are supplied by firms, and the firms demand factors that are supplied by intermediate firms.
B) households demand goods and services that are supplied by firms, while supplying factors that are demanded by firms.
C) households sell goods and services while firms sell factors.
D) households buy goods and services while firms sell goods and services. Firms obtain labor from households, capital from government, and raw materials from other firms.
Answer: B
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

27) The circular flow shows that the household sector earns its income by
A) selling factors of production.
B) buying factors of production.
C) selling goods and services.
D) selling financial assets.
Answer: A
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
28) The circular flow of income shows that
A) households transact only in the goods market.
B) governments purchase goods and services.
C) firms generally are the demanders in the goods markets and suppliers in the factor markets.
D) None of the above answers is correct.
Answer: B
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
29) Which of the following is true regarding the circular flow diagram?
I. "Aggregate income" is the flow of income earned by firms.
II. Retained earnings are considered income earned by firms rather than part of households' income.
III. The government, households, and firms all have transactions in the goods market.
A) I only
B) I and II
C) I and III
D) III only
Answer: D
Topic: Circular Flow
Skill: Conceptual
Question history: Modified 10th edition
AACSB: Reflective Thinking

30) If we compare the four sources of spending in the economy we see that
A) household consumption is the smallest.
B) government expenditure is the largest.
C) business investment is the largest.
D) household consumption is the largest.
Answer: D
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

31) Compared to the other sources of spending, net exports is
A) large and negative.
B) small and negative.
C) large and positive.
D) small and positive.
Answer: B
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
32) The circular flow diagram shows that
A) the flow of payments to the factors used to produce goods and services exceeds the flow of payments for final goods and services.
B) goods and factor markets are independent.
C) the total amount of income generated by the economy equals the total purchases of final goods and services.
D) consumption expenditure equals saving.
Answer: C
Topic: Circular Flow
Skill: Recognition
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking
33) The circular flow diagram shows
A) how nominal GDP is distinct from real GDP.
B) how the prices of factors are determined.
C) the effects of inflation in a simple economy.
D) the flows between different sectors of the economy.
Answer: D
Topic: Circular Flows
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

34) The circular flow diagram indicates that
A) households sell the services of factors of production to firms.
B) firms buy the services of factors of production from the government.
C) households sell goods and services to the government.
D) firms buy goods and services from households.
Answer: A
Topic: Circular Flows
Skill: Conceptual
Question history: Previous edition, Chapter 4
AACSB: Reflective Thinking

35) In the circular flow model of an economy, households
A) receive income from buyers of goods and services.
B) receive income from the sale of factors in the goods markets.
C) pay firms for the use of their factors.
D) receive income from producers for the use of factors in the factor markets.
Answer: