Test Bank for The Economy Today Bradley Schiller 13th edition

Test Bank for The Economy Today Bradley Schiller 13th edition

The U.S. Economy: A Global View Multiple Choice Questions 1. Approximately how much of the world's output does the United States produce? A. 4 percent. B. 20 percent. C. 30 percent. D. 1.5 percent. 2. The United States has roughly how much of the world's population? A. 5 percent. B. 10 percent. C. 15 percent. D. 20 percent. 3. The United States has roughly how much of the world's arable land? A. 14 percent. B. 12 percent. C. 10 percent. D. 8 percent. 4. The best definition of GDP is A. The sum of the physical amounts of goods and services in the economy. B. A dollar measure of final output produced during a given time period. C. A measure of the per capita economic growth rate of the economy. D. A physical measure of the capital stock of the economy. 5. The measure of final new goods and services produced in the United States is the A. GDP of the United States. B. Percentage change in the GDP of the United States. C. Per capita GDP in the United States. D. Total sales of all goods during the year. 6. Approximately how much of the world's output does China produce? A. 13 percent. B. 0 percent. C. 9 percent. D. 1.5 percent. 7. China has roughly how much of the world's population? A. 10 percent. B. 20 percent. C. 30 percent. D. 40 percent. 8. Which of the following countries (or regions) produces the most output annually? A. Japan. B. United States. C. China. D. Germany. 9. Which of the following statements is true about the U.S. economy? A. The United States produces over one-fifth of the world's production. B. The United States has the world's third largest economy. C. The United States produces less than half as much as China does. D. The United States produces less than one-third as much as Japan does. 10.Per capita GDP is A. The sum of consumer goods, investment goods, government services, and net exports. B. A dollar measure of the economic growth rate of a country. C. The value of the factors of production used to produce output in a country. D. GDP divided by total population. 11.Average GDP per person is A. Also known as GDP. B. Also known as per capita GDP. C. The value of the factors of production used to produce output in a country. D. A measure of the economic growth rate of a country. 12.Which of the following is an indicator of how much output the average person would get if all output were divided up evenly among the population? A. GDP. B. Nominal GDP. C. Per capita GDP. D. Real GDP. 13.Those who are interested in assessing the relative standard of living of different countries over a given time period are most likely to look at A. GDP. B. Percentage change in GDP. C. Population. D. Per capita GDP. 14.The best measure of how much output the average person would get if all output were divided evenly among the population would be A. GDP. B. The economic growth of the economy. C. Per capita GDP. D. The capital stock of the economy. 15.Average living standards are best measured using A. GDP. B. The economic growth of the economy. C. Per capita GDP. D. The capital stock of the economy. 16.What percentage of the world's population subsists on incomes of less than $2 a day? A. 33 percent. B. 50 percent. C. 60 percent. D. 70 percent. 17.Per capita GDP will rise if GDP A. Increases more rapidly than the population increases. B. Increases at the same rate as the population increases. C. Decreases and the population increases. D. Increases more slowly than the population increases. 18.Per capita GDP will definitely fall if A. The population falls. B. The rate of economic growth falls. C. The rate of economic growth is less than the rate of population growth. D. There is a decrease in the size of the labor force. 19.Per capita GDP will definitely rise if A. The population falls and GDP does not fall. B. The rate of economic growth falls. C. The rate of economic growth is less than the rate of population growth. D. There is a decrease in the size of the labor force. 20.If population growth is less than output growth for a country, A. Real GDP has decreased. B. Average living standards will decrease. C. GDP must have fallen at a fairly rapid rate. D. The per capita living standard will increase. 21.If output growth exceeds population growth for a country, A. Average living standards will increase. B. GDP must have fallen at a very rapid rate. C. Per capita GDP will decrease. D. This country must have overcome the problem of scarcity. 22.Economic growth A. Is an increase in output or real GDP. B. Causes a contraction in the production possibilities curve. C. Involves reduced capacity in the short run. D. None of the choices are correct. 23.On average, since 1900 U.S. output has grown roughly ____ times faster than population growth. A. 5 B. 4 C. 3 D. 2 24.On average, since 1900 the population of the United States has grown by roughly ____ percent per year. A. 9 B. 6 C. 3 D. 1 25.On average, since 1900 U.S. output has grown by roughly ____ percent per year. A. 9 B. 6 C. 3 D. 1 26.Which of the following countries experienced a decline in total output from 2000 to 2009? A. Canada. B. Zimbabwe. C. China. D. Burundi. 27.Which of the following countries had the highest average growth rate for per capita GDP from 2000 to 2009? A. Canada. B. Haiti. C. China. D. Burundi. 28.The current U.S. economy is based primarily on the production of A. Agricultural goods. B. Goods for federal government use. C. Manufacturing goods. D. Services. 29.As the U.S. economy relies more and more heavily on the production of services rather than goods, A. GDP will decrease since there will be less real production. B. International trade will become more difficult. C. Mass unemployment will result. D. Nearly all future job growth will be in service-producing industries. 30.Which of the following is considered a service in the calculation of GDP? A. Reclining chairs. B. Photographs. C. Tax preparation. D. Automobiles