Question

1. Which of the following is an economic indicator that economists should use to understand the state of the U.S economy?

A. stock market trends over the past few months

B. cost of housing

C. the inflation rate

2. What is included in the GDP calculation of consumption?

A. imported goods

B. purchase of new manufacturing plant

C. nondurable and durable goods

3. Labor productivity is

A. the value of the production or output per worker.

B. the production or output per hour.

C. the production or output per worker per hour.

Answer 1

Answer-1. Correct option is 'A'

Stock market trends over the past few months is an economic indicator that economists should use to understand the state of the U.S economy. An economic indicator is a macroeconomic measurement used by analysts to understand current and future economics activity and oppurtunity. One of the top leading indicators is the stock market itself. Because stock price factor in forward-looking performance, the market can indicate the economy's direction, if earnings estimates are accurate.

Answer-2. Correct option is 'C'

Nondurable and durable goods is included in the GDP calculation of consumption. Consumption is normally the largest GDP component in the economy, consisting of private in the economy. These personal expenditures falls under one of the following categories : durable goods, nondurable goods and services. The production function of Nondurable and durable goods is a component of country's gross domestic product (GDP).

Answer-3. Correct option is 'C'

Labor productivity is the production or output per worker per hour. Labor productivity measures the hourly output of a country's economy. It is the amount of real GDP produced by an hour of labour.