BLOOMBERG MARKET CONCEPTS
COMPREHENSIVE EXAM STUDY GUIDE
COMPLETE QUESTIONS AND SOLUTIONS
●● It went down
Answer: Consider the formula GDP = C+I+G+(X-M). A country is
undergoing a boom in consumption of domestic and foreign luxury
goods. In one year, the dollar growth in imports is greater than the dollar
growth in domestic consumption. Assuming nothing else has changed,
what happened to GDP?
●● C= Consumer spending
I = Investment (Gross Fixed Capital Formation)
G= Government Spending
X= Exports
M= Imports
Answer: what is the meaning of each letter in the GDP formula,
C+I+G+(X-M).
●● Sweden performed better
Answer: Here is the most important economic data for Australia and
Sweden. which economy did better year-over-year (YOY) in the fourth
quarter of 2013 compared to the fourth quarter of 2012? Use the two
charts to investigate.
, ●● Consumer spending accounts for two-thirds of the U.S. economy
when the number of unemployed consumers rises, there is less consumer
spending.
Answer: In the United States, why is there a strong correlation between
unemployment and GDP?
●● The country has deflation. The bottom line is nominal growth and the
top line is real growth.
Answer: Here is a chart showing both nominal GDP growth and real
GDP growth for a country. Which of the following can be a true
statement at the time the chart was captured?
●● PMI
Answer: Which of the following lines is the best leading economic
indicator?
●● Nonfarm payrolls go down, the PMI indicator goes DOWN, the
housing starts goes down.
Answer: What typically happens to nonfarm payrolls, the PMI indicator,
and housing starts at the onset of a recession in the United States?
●● Timeliness of release
Answer: Which of the following qualities of economic indicators do
investors prize the most?
COMPREHENSIVE EXAM STUDY GUIDE
COMPLETE QUESTIONS AND SOLUTIONS
●● It went down
Answer: Consider the formula GDP = C+I+G+(X-M). A country is
undergoing a boom in consumption of domestic and foreign luxury
goods. In one year, the dollar growth in imports is greater than the dollar
growth in domestic consumption. Assuming nothing else has changed,
what happened to GDP?
●● C= Consumer spending
I = Investment (Gross Fixed Capital Formation)
G= Government Spending
X= Exports
M= Imports
Answer: what is the meaning of each letter in the GDP formula,
C+I+G+(X-M).
●● Sweden performed better
Answer: Here is the most important economic data for Australia and
Sweden. which economy did better year-over-year (YOY) in the fourth
quarter of 2013 compared to the fourth quarter of 2012? Use the two
charts to investigate.
, ●● Consumer spending accounts for two-thirds of the U.S. economy
when the number of unemployed consumers rises, there is less consumer
spending.
Answer: In the United States, why is there a strong correlation between
unemployment and GDP?
●● The country has deflation. The bottom line is nominal growth and the
top line is real growth.
Answer: Here is a chart showing both nominal GDP growth and real
GDP growth for a country. Which of the following can be a true
statement at the time the chart was captured?
●● PMI
Answer: Which of the following lines is the best leading economic
indicator?
●● Nonfarm payrolls go down, the PMI indicator goes DOWN, the
housing starts goes down.
Answer: What typically happens to nonfarm payrolls, the PMI indicator,
and housing starts at the onset of a recession in the United States?
●● Timeliness of release
Answer: Which of the following qualities of economic indicators do
investors prize the most?
