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Course: EC 202, Fall 2008School: Oregon
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A Homework ID: 2 Answer Section MULTIPLE CHOICE 1. ANS: MSC: 2. ANS: MSC: 3. ANS: MSC: 4. ANS: MSC: 5. ANS: MSC: 6. ANS: TOP: 7. ANS: TOP: 8. ANS: TOP: 9. ANS: MSC: 10. ANS: MSC: 11. ANS: MSC: 12. ANS: MSC: 13. ANS: MSC: 14. ANS: MSC: 15. ANS: MSC: C DIF: 2 REF: 23-0 Interpretive C DIF: 1 REF: 23-1 Interpretive C DIF: 2 REF: 23-2 Definitional A DIF: 2 REF: 23-2 Definitional D DIF: 2 REF: 23-2 Applicative B DIF: 2...
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A
Homework ID: 2 Answer Section
MULTIPLE CHOICE 1. ANS: MSC: 2. ANS: MSC: 3. ANS: MSC: 4. ANS: MSC: 5. ANS: MSC: 6. ANS: TOP: 7. ANS: TOP: 8. ANS: TOP: 9. ANS: MSC: 10. ANS: MSC: 11. ANS: MSC: 12. ANS: MSC: 13. ANS: MSC: 14. ANS: MSC: 15. ANS: MSC: C DIF: 2 REF: 23-0 Interpretive C DIF: 1 REF: 23-1 Interpretive C DIF: 2 REF: 23-2 Definitional A DIF: 2 REF: 23-2 Definitional D DIF: 2 REF: 23-2 Applicative B DIF: 2 REF: 23-2 Gross domestic product, Intermediate goods C DIF: 2 REF: 23-2 Gross domestic product, Gross national product A DIF: 2 REF: 23-2 Gross domestic product, Gross national product C DIF: 1 REF: 23-3 Definitional B DIF: 2 REF: 23-3 Definitional D DIF: 2 REF: 24-0 Interpretive B DIF: 2 REF: 24-1 Applicative A DIF: 2 REF: 24-1 Applicative B DIF: 2 REF: 24-1 Interpretive C DIF: 2 REF: 24-2 Interpretive TOP: Gross domestic product TOP: Income, Expenditures TOP: Gross domestic product TOP: Gross domestic product TOP: Gross domestic product
MSC: Interpretive MSC: Applicative MSC: Definitional TOP: Investment TOP: Gross domestic product TOP: Prices, Standard of living TOP: Consumer price index TOP: Inflation rate TOP: Consumer price index TOP: Social Security, Indexation
1
ID: A
SHORT ANSWER 16. ANS: Intermediate goods produced and sold during the year are not included separately as part of GDP because the value of those goods will be included in the value of the final goods produced from them. If the intermediate good is produced but not sold during the year, its value is included as inventory for investment the year in which it was produced. If inventory investment was not included as part of GDP, true production would be underestimated for the year the intermediate good went into inventory, and overestimated for the year the intermediate good is used or sold. DIF: 2 REF: 23-2 TOP: Intermediate goods, Gross domestic product MSC: Interpretive 17. ANS: Real income is nominal income adjusted for general increase in prices. If my paycheck is higher this year than last, my nominal income has increased. Whether my real income has increased or not depends on what has happened since last year to the level of prices of things I buy with my income. If the percentage increase in prices is less than the percentage increase in my nominal income, then my real income has increased. Otherwise, my real income has not increased. DIF: 2 REF: 23-4 TOP: Income MSC: Interpretive 18. ANS: Using www.bls.gov ...
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