Which term measures production well and indicates when a country is materially better or worse off in terms of jobs and incomes?
a. GDP
b. Standard of living
c. GDP per capita
d. Nominal GDP
a. GDP
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If the interest rate on a bank deposit in the United States is 3 percent while a similar deposit earns 6 percent in Britain, then we could expect that deposits would flow to
A) Britain if the pound is expected to depreciate more than 3 percent. B) the United States regardless of exchange rate expectations. C) the United States if the dollar is expected to appreciate less than 3 percent. D) Britain if the pound is expected to depreciate less than 3 percent. E) Britain regardless of exchange rate expectations.
Assuming the demand for their products is inelastic, farmers (as a group) have an incentive to
A) increase the supply of what they sell. B) agree among themselves to decrease the supply of what they sell. C) spend at least 10 percent of their budgets to advertise their products. D) b and c E) a and c