Cards (73)

    • National Income Data includes measures such as Gross Domestic Product (GDP) and Gross National Income GNI
    • Comparing National Income Data per capita provides insights into differences in living standards across countries.
    • Steps in collecting National Income Data using surveys
      1️⃣ Sampling
      2️⃣ Data collection
      3️⃣ Estimation
    • Administrative data is often more readily available but may lack certain information.

      True
    • The key difference between GDP and GNI is that GDP focuses on production within a country's borders
    • What does GDP per capita measure?
      Average production per person
    • GDP per capita provides a better indication of a country's standard of living than total GDP alone.

      True
    • National income data allows economists to track changes in a country's total output over time
    • Match the macroeconomic variable with its definition:
      GDP ↔️ Total value of production within borders
      GNI ↔️ Total income earned by residents
    • Economic growth is measured by an increase in a country's Gross Domestic Product (GDP) over time
    • GDP and GNI fully capture a country's standard of living and poverty levels.
      False
    • GDP measures the total value of all goods and services produced within a country's borders
    • National Income Data allows economists to track changes in a country's total output
    • National Income Data helps assess the impact of government policies
    • Surveys provide more detailed data but are resource-intensive.

      True
    • Match the measure with its definition:
      GDP ↔️ Total value of goods and services produced within a country
      GNI ↔️ Total income earned by a country's residents
    • GDP per capita is used to compare living standards between countries.
    • Gross Domestic Product (GDP) measures the total value of all goods and services produced within a country's borders
    • What are the two main examples of national income data measures?
      GDP and GNI
    • Methods of collecting national income data
      1️⃣ Surveys using sampling
      2️⃣ Administrative data using statistical analysis
    • GNI provides a better measure of a country's economic well-being than GDP.

      True
    • What is used to compare living standards between countries?
      GDP per capita
    • What are the two main measures of national income?
      GDP and GNI
    • What does GNI include that GDP does not?
      Income from abroad
    • What type of economic activity is not captured by GDP or GNI?
      Unpaid household work
    • What are the two main types of government fiscal policies?
      Expansionary and contractionary
    • What is the primary goal of contractionary fiscal policy?
      Control inflation
    • Match the fiscal policy with its economic effect:
      Expansionary Fiscal Policy ↔️ Stimulates economic activity
      Contractionary Fiscal Policy ↔️ Reduces inflation
    • Expansionary monetary policy lowers interest rates to increase economic activity.

      True
    • What is a key limitation of using GDP and GNI to measure living standards?
      They ignore income distribution
    • The Gini coefficient measures the equality of income distribution within a country.

      True
    • How does national income data help in policy making?
      Evaluates policy effectiveness
    • GDP focuses on production within a country's borders
    • GDP focuses on production within a country's borders, while GNI focuses on income earned by a country's residents.

      True
    • What is GDP per capita used to compare between countries?
      Living standards
    • Poverty levels indicate the proportion of a population living below a defined poverty line
    • Expansionary fiscal policy involves increasing government spending and/or reducing taxes.

      True
    • Match the policy type with its economic effect:
      Expansionary fiscal policy ↔️ Stimulates economic activity, increases GDP
      Contractionary fiscal policy ↔️ Slows economic growth, reduces inflation
    • Expansionary monetary policy lowers interest rates to stimulate consumer spending and business investment
    • High GDP always indicates a high standard of living for all residents.
      False