Which of these will be included in US GDP for 2005?
a) A car produced in Japan in 2005 and sold in the US in 2005
b) A car produced in the US in 2004 and sold in Japan in 2005
c) A car produced in the US in 2004 and sold in the US in 2005
d) A car produced in the US in 2005 and sold in Japan in 2006
e) A car produced in Japan in 2004 and sold in the US in 2005
Ans. d
Which of the following scenarios best illustrates the concept of cyclical unemployment?
a) Grace loses her job because of new automated machinery
b) Sean quits his job to look for work that is more fun
c) Ellen is unqualified for most jobs because she dropped out of high school
d) Marian loses her job because of a recession
Ans. b