Look at the formula. Then answer the questions that follow.
Two-Part Question
Multiple Choice Question
Part A:
Based on your knowledge of economics, which term correctly replaces V in the formula?
A.
tax revenue
B.
government loans
C.
consumer spending
D.
currency appreciation
C. consumer spending
Part B:
What does the formula represent in economic terms?
A.
trade balance
B.
gross domestic product (GDP)
C.
inflation rate
D.
economic growth