Economics

Question 1

1Gross Domestic Product (GDP) is the total value of

Easy

A. imports only B. government spending only C. all money in the banks D. final goods and services produced within a country in a year

Question 2

2A fall in the value of the cedi against the dollar makes Ghana's imports

Easy

A. unchanged B. free C. cheaper D. more expensive

Question 3

3Purchasing power parity theory suggests exchange rates adjust to equalise

Hard

A. tax rates B. interest rates C. population D. the price of identical goods in different countries

Question 4

4A depreciation of the cedi against the dollar makes Ghana's imports

Easy

A. free B. cheaper in cedis C. unaffected D. more expensive in cedis

Question 5

5Inflation caused by rising production costs is

Easy

A. stagflation B. deflation C. demand-pull inflation D. cost-push inflation

Question 6

6The Consumer Price Index measures changes in

Easy

A. interest rates B. exports only C. the population D. the prices of a basket of goods and services

Question 7

7Real GDP is GDP adjusted for

Easy

A. population B. exports C. inflation D. taxes

Question 8

8Appreciation of the cedi makes imports

Easy

A. cheaper B. unchanged C. banned D. more expensive

Question 9

9A CPI rising from 120 to 132 shows an inflation rate of

Hard

A. 10% B. 8% C. 12% D. 132%

Question 10

10Per capita income is

Easy

A. national income times population B. total exports C. national income divided by population D. government income