ECON 231: Problem Set 2
Name_
Due: Wednesday, March 30, 2016 in class.
This is worth 5% of the final grade!
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
1) If nominal GDP is $5 trillion and real GD
Review for Chapter 7 Chapter 11.
Chapter 7:
 productivity levels for different countries (developed versus developing countries)
 growth rate of productivity (developed versus developing countries)
 the convergence hypothesis
 constantly innovating (d
Review for Chapter 1 Chapter 6.
Chapter 1:
 the real cost: dollar cost + opportunity cost (know how to calculate the real
cost, opportunity cost)
 opportunity cost (definition, how to calculate)
 graphs: the origin (what is it?); negative and positive
PRINT YOUR NAME _
SAMPLE EXAM N2 QUESTIONS
ECON 231
TRUEFALSE ( 1.5 points each). Circle your answer.
1. An increase in the price level causes the Aggregate Supply curve to shift.
TRUE
FALSE
2. Workers in a nearby pizza restaurant may indirectly enjoy in
STUDY GUIDE FOR THE FINAL EXAM
Chapter 5:
Chapter 6:


the Aggregate Demand curve, its slope, what does it represent?
the Aggregate Supply curve, its slope, what does it represent?
what do we include in GDP? What do we not include in GDP?
potential GDP
SAMPLE EXAM QUESTIONS
TRUEFALSE ( 1.5 points each). Circle your answer.
1. Cars produced by General Motors in Mexico would be included in U.S. Gross
Domestic Product.
TRUE
FALSE
2. Frictional unemployment will typically be a shortterm problem for someon