How confident are you that you understand background facts on economic issues? Every year at our Economic Outlook Luncheon, we challenge our guests to test their economic acumen, specifically as it applies to the state of Arizona. Here's your chance! Answers and scoring are at the bottom of the story, but don't cheat!

U.S. Gross Domestic Product (GDP), the measure of the nation's output of goods and services, grew by 2.2 percent in the first quarter of 2012, according to the latest figures from the U. S. Bureau of Economic Analysis. To the surprise of practically nobody, growth in the first quarter was slower than the 3.0 percent rise recorded in the fourth quarter of 2011. Consumer spending provided the most punch to the gain in real output, growing by 2.9 percent, the fastest pace in more than a year. But a slowdown in business investment spending and continuing outright declines in government spending combined to weaken growth in the quarter.

Arizona employment increased by 1.9 percent year-over-year in March, advancing the state into the 8th position in the job creation rankings. Last year at this time, the Grand Canyon State ranked 36th. North Dakota again led all states in the rate of job growth in March, as non-agricultural employment rose 6.6 percent compared to March of 2011. Phoenix ranked in 4th position among large metro labor markets, with growth of 2.3 percent. Phoenix ranked among the top 5 fastest growing large labor markets in information industry jobs (2nd), health care (3rd) and construction (4th) over the past 12 months.

Housing prices rose in the Phoenix market in March, signaling a shift in the mix of what is being sold, according to Michael Orr, author of the monthly resale real estate report from the W. P. Carey School of Business. It’s a complex market, still extremely out of balance with supply extremely low. Eventually, the market will find that magic spot where prices are high enough to coax more sellers to the game