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Uzbekistan’s economic potential; review of Chapter IV

Lessons 24–25 · 2 lessons · E. Sariqov, B. Xaydarov. Fundamentals of Economic Knowledge (Economics), Grade 9, 4th edition. “Huquq va Jamiyat” publishing house, Tashkent, 2019
25

Review of Chapter IV

Textbook: pp. 110–112
GoalReview of Chapter IV: consolidate knowledge of macroeconomic indicators, nominal and real values, the economic cycle and growth, and Uzbekistan’s potential, and solve test items.
New words
macroeconomic indicator · makroiqtisodiy ko‘rsatkichprice index · narxlarning oshish indeksieconomic well-being · iqtisodiy farovonlikGDP per capita · jon boshiga YaIM
Explanation

Chapter IV is about measuring and assessing a country’s economy. Main formulas: GNP = GDP + E − I; NDP = GDP − A; NNP = GNP − A; real GDP = nominal GDP : I; GDP per capita = GDP : population; growth per cent = (new − old) : old · 100%. A final product is counted in GDP and an intermediate product is not, because its value is already in the final price. Economic growth is measured by a rise in real GDP, but for well-being, education, health, housing and a clean environment also matter. In test questions first find what is being asked (nominal or real, GDP or GNP), then choose the formula and check the result for sense: for example, if prices have risen, real value is smaller than nominal.

Worked examples
Test: “Which is not a final product: a book in a shop, a meal in a canteen, thread in a tailoring workshop’s store, a barber’s service?” Answer — the thread, because it is an intermediate product that goes into clothes.
Test: output created abroad with the country’s capital (E) is larger than output created in the country with foreign capital (I). Then GNP = GDP + E − I, E − I is positive, so GNP is larger than GDP.
Class activity

“Test contest”. The class splits into two teams. Teams take turns writing one four-option test question from Chapter IV, and the other team answers and justifies it with a formula or definition.

Practice
1
Match these terms with their meanings: nominal value, real value, economic cycle.
2
GDP is 1 000, E = 70, I = 120 bn so‘m. How many bn so‘m is GNP?
3
Nominal GDP is 2 600 and the price index 1.3. What is real GDP?
4
Why is growth measured with real GDP, not nominal?