Question: Consumption goods, capital goods and services purchased by their ultimate users are called __________ goods.

Answer: final

Question: Which of the following measures the economy’s overall performance?

Answer: National income accounting

Question: The term that covers all expenditures by households is __________ __________ expenditures.

Answer: personal consumption

Question: A final good is

Answer: (1) counted as part of GDP

(2) a good directly consumed by individuals or businesses

Question: GDP may be understated because

Answer: nonmarket activities are not included in GDP