Which of the following would be considered scarce?

1. Televisions
2. Automobiles
3. Computers

III only.

II and III only.

I and II only.

I and III only.

I, II, and III.

In the circular flow diagram, tax revenues flow from

the government to financial markets.

households to the government.

the government to businesses.

financial markets to the government.

the government to households.

In the circular flow diagram

goods and services flow from businesses to households through the factor market.

goods and services flow from businesses to households through the product market.

businesses earn profit on goods and services sold in the product market.

resources flow from households to businesses through the product market.

households earn profit on goods and services sold in the product market.

Gross domestic product does not count transfer payments because

they are considered intermediate goods.

no goods or services are exchanged for them.

we don't want to double count them as government spending.

sometimes they are sent overseas in the form of foreign aid.

they are part of the underground economy.

All of the following are examples of final goods and services that would be included in GDP except the

computer you use to do Macro homework.

sandwich you pack in your lunch.

car you drive to your after-school job.

sugar used to bake the donuts you eat for breakfast.

notebook you take notes in for math class.

GDP would include all of the followingexcept

tips earned but not reported by a waitress at an upscale restaurant.

the purchase of a new home by a retired couple.

income earned for engineering services.

the purchase of a new automobile by a school.

income earned by an airline pilot.

Assume the CPI increases from 100 to 120 between 2008 and 2009. If a gallon of gas was $3.00 in 2008, how much would it cost in 2009?

$3.40

$3.25

$2.50

$3.60

$3.00

If the CPI equals 110 in 2009 and 105 in 2010, then

the average quality of goods and services has decreased.

the rate of inflation is exactly 5%.

the average price of goods and services has decreased.

the average quality of goods and services has increased.

the average price of goods and services has increased.

If nominal GDP was $1,500 billion in 2005 and the GDP deflator was 150, then real GDP would have been approximately

$1,350 billion.

$10 billion.

$2,250 billion.

$3,000 billion.

$1,000 billion.

Which of the following is included in the natural rate of unemployment?

I. Seasonal unemployment

II. Frictional unemployment

III. Structural unemployment

IV. Cyclical unemployment

I and IV only.

II and III only.

I and II only.

III and IV only.

II and IV only.

If the working age population was 252 million of the 330 million people living in the United States and the labor force was 180 million with an unemployment rate of 10%, the number of employed workers would be

18 million workers.

162 million workers.

297 million workers.

226.8 million workers.

25.2 million workers.

Wendy graduated from high school and decided not to go to college. She has no skills and is having trouble finding a job. This is an example of

an employed individual.

cyclical unemployment.

frictional unemployment.

structural unemployment.

a discouraged worker.

Ron is searching for another job where his skills will be best used. Lucy is looking for a job where she can make more money to help put her children through college. What is Ron's employment status and what is Lucy's?

Both are frictionally unemployed.

Ron is structurally unemployed; Lucy is frictionally unemployed.

Ron is frictionally unemployed; Lucy is cyclically unemployed.

Both are structurally unemployed.

Ron is frictionally unemployed; Lucy is structurally unemployed.