ECON 1116- BMC Answers (Bloomberg)-2022

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ECON 1116- BMC Answers (Bloomberg)-2022 Bloomberg Answers Economic Indicators The Primacy of GDP (30 min.) Knowledge Check 1 How accurately do GDP statistics portray the economy and... why? • Inaccurately because the scope of GDP measurements can change. Knowledge Check 2 Consider the formula GDP = C + I + (X- M). A country is undergoing a boom in consumption of domestic and foreign luxury goods. In one year, the dollar growth in imports is greater than the dollar growth in domestic consumption. Assuming nothing else has changed, what happened to GDP? • It went down. Knowledge Check 3 Here is the most important economic data for Australia and Sweden. Which economy did better year-over-year (YOY) in the fourth quarter of 2013 compared to the fourth quarter of 2012? Use the two charts to investigate. • Sweden performed better. Knowledge Check 4 In the US, why is there a strong correlation between unemployment and GDP? • Consumer spending accounts for two-thirds of the U.S. economy. When the number of unemployed consumers rises, there is less consumer spending. CONTINUED......... [Show More]

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