Economics Lecture Questions prior to quiz 4

What is the best way to measure Economic Growth
A. Nominal GDP
B. Real per capita GDP
C. Real GDP

What would be an example of a Recession
A. a decline in real output longer than two consecutive quarters of a year
B. a decline in real output longer than a year
C. 6 months of declining real output
D. a decline in real output that is shorter than two consecutive quarters of a year.
E. both a and c are correct.

GDP is the sum of four categories of expenditures. GDP = C+I+G+(X-M) what do each of the letters stand for in this equation.

Net Domestic Product is found using this equation- C+(I-depreciation)+G+(X-M) what do the variables stand for.