unemployment are F 2. The labor force includes all people in the civilian non-institutional population. F 3. The Consumer Price Index (CPI) is constructed by the Bureau of Labor Statistics. F 5. There are two conceptually different ways to measure GDP: the expenditure approach and investment approach. F F LL F 7. GNP (Gross National Product) minus depreciation equals NNP (Net National Product). 4. One of the major problems with relatively high inflation is that it tends to hurt economic activity and could destroy the market system eventually. LL F 6. GDP is the value of all production during some specified period, usually one year. 8. The expenditure approach to calculating GDP entails summing togeth wages, interest, rents, profits, indirect business taxes, and depreciatio ing pow 9. Some of the policies that authorities took to combat the Great Depres allu oxacerbated it.
unemployment are F 2. The labor force includes all people in the civilian non-institutional population. F 3. The Consumer Price Index (CPI) is constructed by the Bureau of Labor Statistics. F 5. There are two conceptually different ways to measure GDP: the expenditure approach and investment approach. F F LL F 7. GNP (Gross National Product) minus depreciation equals NNP (Net National Product). 4. One of the major problems with relatively high inflation is that it tends to hurt economic activity and could destroy the market system eventually. LL F 6. GDP is the value of all production during some specified period, usually one year. 8. The expenditure approach to calculating GDP entails summing togeth wages, interest, rents, profits, indirect business taxes, and depreciatio ing pow 9. Some of the policies that authorities took to combat the Great Depres allu oxacerbated it.
Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter8: Economic Fluctuations, Unemployment, And Inflation
Section: Chapter Questions
Problem 14CQ
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Transcribed Image Text:unemployment are easily
T F 2. The labor force includes all people in the civilian non-institutional
population.
T F
T F
T F
T F
T
F
T F
T F
T F
T F
bele year.
3. The Consumer Price Index (CPI) is constructed by the Bureau of Labor
Statistics.
4. One of the major problems with relatively high inflation is that it tends to
hurt economic activity and could destroy the market system eventually.
5. There are two conceptually different ways to measure GDP: the
expenditure approach and investment approach.
T F
6. GDP is the value of all production during some specified period, usually
one year.
7. GNP (Gross National Product) minus depreciation equals NNP (Net
National Product).
22
T F 10. Business cycles are typically divided into four distinct phases: peak,
contraction, recovery, and expansion.
8. The expenditure approach to calculating GDP entails summing together
wages, interest, rents, profits, indirect business taxes, and depreciation.
9. Some of the policies that authorities took to combat the Great Depression
actually exacerbated it.
11. Demand and supply analysis can be very useful in explaining price and
output movements in markets, and in such broad aggregate variables as
the price level and national income.
12. All else assumed constant, decreases in aggregate demand tend to
result in decreases in output and GDP.
T F 13. All else assumed constant, increases in aggregate supply relative to
aggregate demand tend to result in economic growth accompanied by
deflation.
T F 14. Structural unemployment occurs because some firms fail in the normal
course of business activity.
15. A core ingredient to figuring out an inflation rate is the CPI (Consumer
Price Index).
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