Test#2 Study Guide
Test#2 will consist of 20 True/False questions each worth 5 points.
The following are topics to study for the exam broken down by each module:
Module 11
- Real GDP
- Nominal GDP
- Determining actual growth in aggregate output
- Real per capita GDP
Module 12
- Employment
- Underemployment
- Discouraged workers
- Marginally attached workers
- The relationship between real GDP and changes in the unemployment rate
Module 13
- Possible reasons that lead to job loss
- The minimum wage
- The natural rate of unemployment
Module 14
- Shoe-leather costs
- Unit-of-account costs
- Nominal interest rate
- Real interest rate
Module 15
- The aggregate price level
- Price index
- Consumer Price Index
- Producer Price Index
Module 16
- Marginal Propensity to Consume
- Marginal Propensity to Save
- The multiplier
Module 17
- Reasons why the aggregate demand curve has a negative slope
- What causes Aggregate demand to decrease
Module 18
- Reasons why the short-run aggregate supply curve is positively sloped
- What causes short-run aggregate supply to increase