* not completed

. What does GDP measure?

National income correct incorrect

National population correct incorrect

National density of population correct incorrect

Spending on imports correct incorrect

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. If a product is income elastic

The percentage change in quantity demanded is greater than the percentage change in income correct incorrect

The percentage change in quantity demanded is less than the percentage change in income correct incorrect

The percentage change in quantity demanded is equal to the percentage change in income correct incorrect

The percentage change in quantity demanded is in the opposite direction to the percentage change in income correct incorrect

* not completed

. Which of the following best describes inflation?

An increase in the standard of living correct incorrect

An increase in the value of the currency correct incorrect

An increase in the cost of living correct incorrect

An increase in real income correct incorrect

* not completed

. The CPI is calculated:

By measuring changes in all prices of all products correct incorrect

By taking an average of price increases correct incorrect

By using a weighted average of price changes correct incorrect

By using real prices correct incorrect

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. Inflation is most likely if:

Demand grows slower than supply correct incorrect

Supply grows faster than demand correct incorrect

Demand grows faster than supply correct incorrect

Demand falls correct incorrect

* not completed

. To control inflation the Bank of England is most likely to:

Increase bank lending correct incorrect

Decrease prices correct incorrect

Decrease interest rates correct incorrect

Increase interest rates correct incorrect

* not completed

. Gearing measures…

The proportion of long term funds that are borrowed correct incorrect

The cost of borrowing correct incorrect

The amount of cash relative to debt correct incorrect

The revenue from credit sales correct incorrect

* not completed

. Which of the following is not an injection into an economy?

Investment correct incorrect

Government spending correct incorrect

Export spending correct incorrect

Spending on imports correct incorrect

* not completed

. The unemployment rate measures:

The number of people unemployed correct incorrect

The number of people unemployed relative to the population correct incorrect

The number of people unemployed relative to the workforce correct incorrect

The total number of people not in work correct incorrect

* not completed

. The exchange rate measures:

The cost of living correct incorrect

The standard of living correct incorrect

The internal value a currency correct incorrect

The external value of a currency correct incorrect