Recent Lessons

Show all results for ""

PSHS Social Science 5: Economics - Conceptual Imperfections of GDP/GNP

10 Questions

1 Views

PSHS Social Science 5: Economics - Conceptual Imperfections of GDP/GNP

Choose a study mode

Play Quiz

Study Flashcards

Spaced Repetition

Chat to Lesson

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What does GDP per capita stand for?

Gross Domestic Product per country
Gross National Income per capita
Gross Domestic Product per capita (correct)
Gross National Product per capita

What is the main difference between nominal GDP and real GDP?

Nominal GDP is adjusted for inflation, while real GDP is not.
Real GDP is the total income of a country, while nominal GDP is adjusted for population growth.
Nominal GDP considers inflation, while real GDP does not.
Real GDP is the market value of goods and services produced, while nominal GDP adjusts for inflation. (correct)

What does GNP stand for?

Gross Nominal Production
Gross National Product (correct)
Gross New Product
General National Product

Why is GDP considered important to economists and investors?

To track how much a country is producing or growing economically. (C) Signup and view all the answers

Which indicator tracks the overall economic health of a nation, including consumption, investment, government spending, and net exports?

Gross Domestic Product (A) Signup and view all the answers

What are the limitations of using GDP as an economic indicator according to the text?

GDP only accounts for economic production and may not reflect social welfare. (A) Signup and view all the answers

In comparing real and nominal GDP, what does nominal GDP represent?

The market value of goods and services produced without accounting for inflation. (A) Signup and view all the answers

What is the key difference between GDP and GNP?

GDP measures economic output within a country's borders, while GNP includes foreign income produced by residents. (D) Signup and view all the answers

Why is Real GDP considered a better measure than Nominal GDP in assessing economic growth?

Real GDP accounts for changes in price levels (inflation), providing a more accurate picture of economic growth. (D) Signup and view all the answers

What does Gross National Income (GNI) measure?

The total income earned domestically plus foreign earnings of residents and businesses. (D) Signup and view all the answers