1. Investment is a component of the Expenditure Approach that reflects the expenditures of businesses or organizations in ___

• Products that replace depreciated or used equipment in production.

• the acquisition of plant, equipment and real estate as well as the increase in inventories

• Full and part-time workers

• products that are purchased to store in case of a shortage.

1. Which of the following items should be counted in the measurement of Puerto Rico's GDP in a year using the Income approach?

• the purchase of products that are used to satisfy personal needs.

• The payments that people receive for their retirement pensions.

• Transfer payments between businesses or companies

• The sale of some bonds to finance equipment purchases.

1. In the expense approach to justify who

The concept or model of Circular Bid is very important to understand the functioning of the economy. According to this model, the Gross Intero Product is equal to two second times minus one Identify what is the concept.

1. The Income approach that is used in the United States economy and that is studied in economics books cannot be applied exactly to Puerto Rico due to the fact that local companies that are subsidiaries of the United States maintain a large volume of business with each other which are called business transfers. True or False

1. Nominal GDP is the measure that reflects the changes in prices suffered by production and is the correct way to measure changes at the level of a society. True or False

1. According to the most recent statistical data of the Puerto Rico economy, the real Gross Product had a positive change in the year 2021. True or False

1. In any country, the price level measured through an index was 100 in 1996 and 150 in 1998. Which of the following statements is true if you want to refer to the concept of inflation exchange rate?

• The inflation rate of change is not measured by a price index.
• The inflation exchange rate reflects that prices have tripled in the period
• The inflation exchange rate reflects that prices have doubled in the period
• The inflation exchange rate reflects that prices have increased 50 percent in the period

1. In the introductory chapter on macroeconomics, changes in the price level of the economy are measured through _____

• to the average of the prices of the services purchased
• inflation rate
• The Consumer Price Index (CPI)
• The economic growth rate of the Gross Domestic Product (GDP)

1. One of the ways to quantify priority in the standard of living of a society is called the Papo Lucas wedge, which measures the difference between nominal GDP per person and real GDP per person achieved TRUE or FALSE

1. The unemployment rate is the number of unemployed people expressed as a percentage of ____

• the total population of a country
• all people who have or are looking for a job (labor force)
• the population that is interested or has the desire to work
• the population minus the number of people who are retired

1. When an inflation cap occurs over time in an economic system ____

• oil and gasoline prices are rising
• all families are spending more money on food and clothing
• all the prices of goods and services are going up and down
• the average price level of a basket of products is rising

1. Depreciation is a concept that arises with the Gross Domestic Product (GDP) Income Approach. It is important to identify which component of the economy is responsible for collecting or justilicateste entered, enriched the component _____

• workers as compensation for their work done
• the companies that subtract it from indirect taxes
• net investment minus gross investment
• companies that apply it to capital assets such as machinery

1. One of the methods that allows us to compare the standard of living over time is to calculate the Gross Domestic Product per capita. This measure consists of ____

• divide real GDP by population
• divide nominal GDP by the working population
• Divide real GDP by the population of consumption age
• multiply real GDP by the number of people in the population

1. Which of the following items or components is not part of the expenditure approach to measure the GDP of an economy?

• Purchases made by families
• Social security (SS) payments made by the government
• Purchases of products by foreigners in the country's economy (exports)
• Purchases of equipment such as new computers by companies.

1. In measuring the Gross Domestic Product (GDP), a difference must be made between final goods and intermediate goods. Intermediate goods and services are defined as

• products that are counted twice in GDP
• products that include used or second-hand goods
• products that are not included in GDP because they are not finished or finished
• products used to produce other goods and services

1. In the analysis of economic cycles, unemployment of people in an economy generally remains low.

• at the lowest point (trough) of a business cycle
• during a short economic downturn
• during the expansion phase of an economic cycle
• before reaching the bottom (top) of an economic cycle

1. Real GDP is not a good indicator of economic well-being because

• all other options
• excludes the underground economy
• measures the value of time spent working but not the value of time spent leisure
• does not include pollution produced by steel plants

1. The economic or business cycle in theory _____

• is the fluctuation of real GDP around potential GDP
• is periodic in its phases but regular in the duration of its cycles.
• can be accurately predicted in time because it is a cycles
• follows the phases of expansion experienced by the economy over time

1. Real GDP is equal to potential GDP when

• the business cycle is at a peak
• economic growth is higher than normal
• all productive resources are fully occupied (full employment)
• unemployment is low

1. According to the data of the economy of Puerto Rico, the salary or daily wage of the people is less than the consumption expenditure of the people. On some occasions, the explanation found to justify this historical behavior in our society is related to the concept of ____

• bonds of transfers or federal state government aid
• government purchases of goods and services
• the accumulated wealth of people
• investment made by foreign companies.

1. table In the fantasy economy that has only two products (X - Y) the country's production is as follows over time

What is the nominal GDP value of the year 2005

1. In the local economy, employers claim that workers' compensation takes double the income generated by their businesses. In calculating the income approach, you had the opportunity to view the 2021 employee compensation and property income data. Do you believe the employers' statement is correct?

1. One of the following measures used by the Government is not considered part of the fiscal policy, which one?

• new highway construction
• u increase in government purchases of goods and services
• a reduction in the interest rate on loans
• a reduction in income tax or income tax rates

1. the income approach measures GDP by adding components such as employee compensation, owner income ____

• net savings, investment income, and profits
• Net interest, rental income, and profits (profits) of corporations
• net investment rental income and profits (profits) of corporations
• net investment shoto and income of farmers

1. table

In the fantasy economy that has only two products (X - Y) the production of the country is the following through the weather

P2000	Q 2000	Prod	P2005	Q2005
50	100	X	40	80
40	200	Y	60	150

What is the value of nominal GDP in the year 2000?

1. The correct mean to measure the changes in the amounts suffered by the Gross Domestic Product (GDP) of any country is to take the real data or at constant prices TRUE OR FALSE

1. EL -______ is the monetary value of the total production of the economy of a country calculated based on the prices observed in a specific year, example GDP at 1954 prices.

• real GDP
• nominal GDP
• GDP per capita
• potential GDP

1. when studying and measuring the economy of Puerto Rico, one must be very careful not to make the mistake of using real GDP to measure the production capacity of Puerto Rican companies to Satisfy local needs TRUE OR FALSE

1. In a fictitious economy we are asked to calculate the Expenditure Approach from the following data

• Imports=400
• Construction=300
• Consumption = 2500
• brutal investment = 800
• Exports = 400
• Public Purchases =500

1. In a grid that represents the behavior of an economic cycle, after observing the lowest point of the cycle (valley) it is followed by an economic phase period of ___-

• economic expansion
• Economic inflation
• economic stagflation
• Economic recession

1. think about unemployment as an economic problem and according to your best knowledge, if the unemployment rate in the United States and Puerto Rico is evaluated, which of the following expressions:

• In the last decade the unemployment rates in both countries were the same.
• the unemployment rate in the United States is lower than in Puerto Rico
• n Puerto Rico the unemployment rate is lower than the unemployment rate in the United States
• n the current administration the unemployment rate in the United States is zero

1. When calculating the focus of Expenditure for the economy of Puerto Rico in the most recent year, it was possible to observe in Net Exports our great capacity to export products to other countries. Its positive value confirms the behavior expressed. True or false

1. In the fantasy economy that has only two products (X - Y) the country's output is as follows over time!

P2000	Q 2000	Prod	P2005	Q2005
50	100	X	40	80
40	200	Y	60	150

Is all the value of the real GDP of the year 2005, if the prices of 2000 are kept constant7

1. Investment is a component of the Expenditure Approach that reflects the expenses of companies or organizations in ____

• Products that replace depreciated or used equipment in production.
• the acquisition of plant, equipment, and real estate as well as the increase in inventories
• full and part time workers
• products that are purchased to store in case of a shortage.

1. Which of the following items should be counted in the measurement of the GDP of Puerto Rico in a year through the Income Approach

• the purchase of products that are used to satisfy personal needs
• The payments that people receive for their retirement pensions
• Transfer payments between businesses or companies
• The sale of some bonds to finance equipment purchases