Economics Exam 1 2024/2025 With 100% Correct Answers

Change in factor productivity {Ans: A shift in the supply curve}Economists include only final goods and services when measuring GDP for a particular year because {Ans: If intermediate goods were counted, then multiple counting would occur}In the goods and services portion of the circular flow model, there is a flow of {Ans: real goods and services and a flow of money}The phrase "invisible hand" means that {Ans: market prices provide information to consumers regarding products they wish to purchase, and to producers regarding products they wish to produce.}Change in taxes {Ans: A shift in the supply curve}When measuring GDP for a particular year, economists exclude the value of the used furniture bought and sold because {Ans: it was counted in GDP in some previous year.}