The Following Data Give the Dates of Successive Turning Points

question 95

Multiple Choice

The following data give the dates of successive turning points in U.S. economic activity and the corresponding levels of real GDP at the time. $$\begin{array} { c c c } \text { Turning Point } & \text { Date } & \begin{array} { c } \text { Real GDP } \\\text { (1996 \$ billions) }\end{array} \\\text { (A) } & \text { July } 1953 & 1992.2 \\\text { (B) } & \text { May } 1954 & 1941.0 \\\text { (C) } & \text { Apr. } 1957 & 2182.7 \\\text { (D) } & \text { Apr. } 1958 & 2117.4 \\\text { (E) } & \text { Apr. } 1960 & 2391.0\end{array}$$ Which of the following periods was a recession?

• A) July 1953 through May 1954
• B) May 1954 through April 1957
• C) July 1953 through April 1957
• D) May 1954 through April 1958

Understand the factors contributing to fluctuations in investment and its impact on GDP.

Describe what constitutes government purchases and outlays.

Identify the drivers of investment demand and understand how they shift the investment demand curve.

Understand the role and impact of bond rating agencies on the bond market.

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Definitions:

Production Manager

An individual responsible for overseeing the production process, managing production staff, and ensuring that manufacturing processes are efficient and effective.

Variable Overhead Efficiency Variance

The difference between the actual and expected (or standard) variable overhead costs based on the actual production hours.

Standard Activity

A benchmark or norm for measuring performance or efficiency, often used in costing and budgeting processes.

Predetermined Overhead Rate

A rate used to allocate manufacturing overhead to individual products or job orders, calculated before the production period based on estimated costs and activity levels.