1Question 1

Which of the following would be counted as part of GDP, as calculated by the expenditures approach?

AMedical advice offered by a doctor to a relative

BAn increase in leisure time due to a technological breakthrough

CInformal economic transactions using only cash

DMoney spent by a business on new production equipment

EThe profits shared by stockholders of a major company

Question 2

The Bureau of Labor Statistics takes a survey and reports the following unemployment data:

Number of Workers Classified as Employed 178 million Number of Workers Cyclically Unemployed 12 million Number of Workers Frictionally Unemployed 3 million Number of Workers Structurally Unemployed 7 million Working-age Population 300 million