National Income and Macroeconomics Quiz

The branch of economics studying economic problems and issues at the whole economy level.

The total demand for goods and services in an economy at a given price level.

Total supply of goods and services in an economy at a given price level.

The total market value of all final goods and services produced in an economy in a year, or the sum of value added by all producing units.

The continuous flow of production, expenditure, and income between firms and households in a closed economy with no savings or government intervention.

Consumers in the economy; they buy goods and services and supply factors of production (labor, land, capital).

An economy that does not interact with other economies through imports and exports.

Factors that relate to individual economic agents or entities, such as individual consumers' spending.

Total factor income earned by a country's residents in a year, including net factor income from abroad and depreciation.

The market value of final goods and services produced by domestic and foreign producers within a country in a year, excluding depreciation.

The market value of final goods and services produced by residents, including those working abroad, in a year, including depreciation and net factor income from abroad.

Total factor income earned by a country's residents in a year, including net factor income from abroad, but excluding depreciation.

Total income of the private sector, comprised of factor income from NDP, net factor income from abroad, interest on national debt, and current transfers from and to the rest of the world.

The market value of final goods and services produced in a country in a year, inclusive of net factor income from abroad and exclusive of depreciation.

Total income received by individuals and households, calculated by subtracting undistributed profits and corporate taxes from private income.

The sum of all factor incomes (rent, wages, interest, profit) generated within a country in a year, including depreciation.

Income available for personal use after paying direct taxes on income and property.

The sum of all factor incomes (rent, wages, interest, profit) generated within a country in a year, excluding depreciation.

The difference between factor incomes earned by domestic residents from abroad and factor incomes earned by foreigners within the domestic territory.

Personal income is before paying taxes, while disposable income is after paying direct taxes on income and property.

The loss of value of capital goods due to wear and tear over time.

A method to assess the total market value of all final goods and services in an economy, typically annually.

Calculates national income by adding the value each business creates, avoiding double counting.

The amount a company adds to a product's value, calculated as output less intermediate costs.

Costs of raw materials or non-factor inputs, essential for production (like electricity).

Total sales plus changes in inventory.

The total value a production unit creates, summing up across all sectors.

Income available to individual households after taxes and government charges are removed.

Services produced and consumed at home, and not exchanged in the market.

Counting the value of a good or service more than once in calculating national income.

The difference between the value of output and the value of intermediate consumption in a stage of production.

The total value of the output of all goods and services produced in an economy.

Value of inputs used in the production of a final good or service.

A good or service that is purchased for final use by the consumer.

Wages, salaries, and other benefits paid to workers for their services.

Profit earned in the production of goods and services. Remaining after employee compensation.

Income of self-employed individuals, combining component of wages and profits.

The increase in the market value of a product or service at each stage of production, excluding the cost of intermediate goods.

The value of goods and services used up in the production of other goods and services.

Sum of value added by all producing units within a country's borders

Inaccurately calculating national income by including the value of intermediate goods twice.

Production by a producer for their own consumption or investment instead of the market.

Estimated value of a good/service not traded in the market.

Loss in value of capital assets due to usage and time.

Taxes levied on goods and services, not included in GDP.

Total income earned by a nation's factors of production in a year.

National income adjusted for depreciation.