Quiz: Mcconnell And Brue Economics- 15th Edition.

10 Questions

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Quiz: Mcconnell And Brue Economics- 15th Edition.

T/F quiz for McConnell and Brue 15 ed.


Questions and Answers
  • 1. 
    National income accounting allows us to assess the performance of the economy and make policies to improve that performance
    • A. 

      True

    • B. 

      False

  • 2. 
    Gross domestic product measures at their market value the total output of all goods and services produced in the economy in a given year.
    • A. 

      True

    • B. 

      False

  • 3. 
    GDP is simply a count of the quantity of output and is not a monetary measure.
    • A. 

      True

    • B. 

      False

  • 4. 
    The total market value of the wine produced in the US during a year is equal to the number of bottles of wine produced in that year multiplied by the average price at which the bottles sold that year.
    • A. 

      True

    • B. 

      False

  • 5. 
    GDP includes the sale of intermediate goods and excludes the sale of final goods.
    • A. 

      True

    • B. 

      False

  • 6. 
    The total value added to a product and the value of the final product are equal.
    • A. 

      True

    • B. 

      False

  • 7. 
    Social security payments and other public transfer payments are counted as part of GDP.
    • A. 

      True

    • B. 

      False

  • 8. 
    The sale of stocks and bonds is excluded from GDP.
    • A. 

      True

    • B. 

      False

  • 9. 
    In computing GDP, private transfer payments are excluded because they do not represent payments for currently produced goods and services.
    • A. 

      True

    • B. 

      False

  • 10. 
    The two approaches to the measurement of GDP yield identical results because one approach measures the total amount spent on the products produced by business firms during a year while the second approach measures the total income of business firms during the year.
    • A. 

      True

    • B. 

      False