Economics Class Quiz on Income and Surplus

Activities that produce goods and services, but are not exchanged in a market and therefore have no market value.

Activities that create goods and services that are exchanged in a market and valued at market price.

An individual or institution who ordinarily resides in a country and whose center of economic interest also lies in that country.

A person or institution who is not considered a normal resident of the country they are in, such as a tourist, foreign diplomat, or member of the armed forces of another nation.

The activities or resources whose value should not be counted twice while calculating national income.

The calculation of the total value of goods and services produced in a country during a specific period, usually a year.

The core economic activities of a person, including where they earn their income, spend their money, and accumulate assets.

The territory within which a country's laws and government actions apply.

Payments made by an employer to ensure employee well-being, such as contributions to provident funds, gratuity, and labor welfare funds.

Total income from property (rent, royalty, interest) and entrepreneurship (profit).

Income earned from owning and renting out land and buildings, including imputed rent for self-occupied properties.

Income received for granting leasing rights to sub-soil assets like mineral deposits.

Amount received for lending funds to a production unit, including imputed interest on the entrepreneur's own funds.

The reward for entrepreneurship, calculated as remaining income after paying all other factors of production.

Direct tax paid by an enterprise to the government based on its total profit.

Part of the profit distributed to shareholders in proportion to their shareholding.

The total value of all final goods and services produced within a country's borders during a year, including contributions from residents and non-residents.

The total market value of all final goods and services produced by a country's residents during a year, regardless of where production takes place.

The total value of final goods and services produced within a country's borders during a year, subtracting depreciation.

The total market value of all final goods and services produced by a country's residents during a year, excluding depreciation.

The total value of final goods and services produced within a country's borders, excluding indirect taxes and subsidies.

The difference between indirect taxes and subsidies.

The price paid by the final consumer for a product, including all taxes and excluding subsidies.

The cost of factors of production (land, labor, capital, and entrepreneurship) used to produce a good or service.

The total value of all final goods and services produced within a country's borders during a specific period, usually a year.

GDP calculated at market prices, including indirect taxes.

GDP calculated at factor cost, excluding indirect taxes.

The total value of all final goods and services produced by a nation's residents, regardless of their location.

The total value of all final goods and services produced within a country's borders, excluding depreciation.

The total value of all final goods and services produced by a nation's residents, excluding depreciation.

The total income earned by a nation's residents from all sources, both domestic and foreign.

The difference between the value of exports and imports of goods and services.

The total income earned by the private sector in a country, including income from property, entrepreneurship, government transfers, and net transfers from the rest of the world.

The income actually received by households from all sources, even if it wasn't earned through productive activities.

The amount of money households have left after paying taxes and other mandatory deductions. This is the money available for spending or saving.

Profits that are not distributed to shareholders but are kept within the company for future investment or use.

Transfers from the government to the private sector, such as scholarships, unemployment allowances, and subsidies. These are always positive as they flow from the government to individuals or businesses.

Net gifts and remittances received from abroad. It's positive if receipts are higher than payments, and negative if payments are higher than receipts.

Interest payments made by the government on its national debt.

The sum of all income earned by the factors of production (land, labor, capital, and entrepreneurship) in a country during a year. It is calculated by adding up the compensation of employees, operating surplus, mixed income, and net factor income from abroad.

The total value of all final goods and services produced by a country's residents during a year, regardless of where production takes place. It is calculated by adding up the gross national product at market price and the net indirect taxes.

The total value of all final goods and services produced by a country's residents during a year, excluding depreciation. It is calculated by adding up the net national product at market price and the net indirect taxes.