Question 1

What is the equation for GDP?

Accepted Answer

GDP = C + I + G + Xn

(consumer spending + business investment + government spending + net exports)

Question 2

What is the equation for unemployment rate?

Accepted Answer

Question 3

What is the equation for labor force participation rate?

Accepted Answer

Question 4

What is the equation for CPI?

Accepted Answer

Question 5

What is the equation for GDP deflator?

Accepted Answer

Question 6

How do you find real GDP from the GDP deflator and nominal GDP?

Accepted Answer

(see equation for GDP deflator)

Question 7

How do you calculate percent change?

Accepted Answer

Question 8

How do you calculate inflation rate?

Accepted Answer

(can also use GDP deflator instead of CPI)

Question 9

What is the CPI in a base year?

Accepted Answer

100 (always)

Equations, AP Macroeconomics Flashcards