1. List the two things that GDP measures. How can GDP measure two things at once?

2. What are the four components of GDP? Give an example of each.

3. What does the consumer price index measure? List three ways in which it differs from the GDP deflator.

4. How are the CPI and the PCE deflator similar, and how are they different?

5. List the three categories used by the Bureau of Labor Statistics to classify everyone in the economy. How does the BLS compute the unemployment rate?

6. Describe the two ways the BLS measures total employment.