which of the following is a stock variables? GDPUnemployment rate national debt Inflation rate
Question
which of the following is a stock variables?
- GDP
- Unemployment rate
- National debt
- Inflation rate
Solution
The stock variable from the options you provided is "National Debt".
Here's why:
-
GDP (Gross Domestic Product): This is a flow variable because it measures the value of economic output produced over a specific period.
-
Unemployment Rate: This is also a flow variable. It measures the percentage of the total labor force that is unemployed but actively seeking employment and willing to work, typically calculated on a monthly or yearly basis.
-
National Debt: This is a stock variable. It represents the total amount of debt a country owes, which has accumulated over time. It doesn't reset over a specific period like flow variables do.
-
Inflation Rate: This is a flow variable as it measures the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling, typically calculated on a monthly or yearly basis.
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