Download - Micro and Macroeconomics Questions
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Micro and Macroeconomics Questions
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Macroeconomics Question 1
Gross Domestic Product is a method for calculating how much a country produces by adding which four spending categories?A Consumption, Investment, Government, Net ExportsB Consumption, Investment, Government, Business expendituresC Consumption, Interest Rates, Goverment, Net ExportsD Wages, Rent, Interest, Dividends
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Macroeconomics Question 1
Gross Domestic Product is a method for calculating how much a country produces by adding which four spending categories?A Consumption, Investment, Government, Net ExportsB Consumption, Investment, Government, Business expendituresC Consumption, Interest Rates, Government, Net ExportsD Wages, Rent, Interest, Dividends
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Macroeconomics Question 2
To calculate the unemployment rate an economist would need the total number of unemployed people and which other number?A the inflation rateB the number of people in the labor forceC the total number of discouraged workersD the total number of transactions in the resource market
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Macroeconomics Question 2
To calculate the unemployment rate an economist would need the total number of unemployed people and which other number?A the inflation rateB the number of people in the labor forceC the total number of discouraged workersD the total number of transactions in the resource market
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Macroeconomics Question 3
An economist is presented with information about the prices of a selection of goods over several years. This information would be MOST useful for which purpose?A For calculating unemploymentB Calculating Gross Domestic ProductC To compile a price index to measure inflationD Deciding whether or not to buy bonds on the open market
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Macroeconomics Question 3
An economist is presented with information about the prices of a selection of goods over several years. This information would be MOST useful for which purpose?A For calculating unemploymentB Calculating Gross Domestic ProductC To compile a price index to measure inflationD Deciding whether or not to buy bonds on the open market
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Macroeconomics Question 4
In October, Bill is laid off from his job as a Halloween costume maker solely because of a slow Halloween season. Which statement is true?A Bill is naturally unemployed.B Bill is cyclically unemployed.C Bill is frictionally unemployed.D Bill is structurally unemployed.
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Macroeconomics Question 4
In October, Bill is laid off from his job as a Halloween costume maker solely because of a slow Halloween season. Which statement is true?A Bill is naturally unemployed.B Bill is cyclically unemployed.C Bill is frictionally unemployed.D Bill is structurally unemployed.
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Macroeconomics Question 5
The town of Smithville recently closed the blacksmith factory and now all of the blacksmiths are out of work. This type of unemployment is known asA structural.B frictional.C cyclical.D nominal.
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Macroeconomics Question 5
The town of Smithville recently closed the blacksmith factory and now all of the blacksmiths are out of work. This type of unemployment is known asA structural.B frictional.C cyclical.D nominal.
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Macroeconomics Question 6
Monetary policy is defined as theA taxing and spending decisions of the United States Government.B buying and selling of currency in foreign exchange markets.C interaction of buyers and sellers in the market place.D decisions of the Federal Reserve System that determine the money supply.
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Macroeconomics Question 6
Monetary policy is defined as theA taxing and spending decisions of the United States Government.B buying and selling of currency in foreign exchange markets.C interaction of buyers and sellers in the market place.D decisions of the Federal Reserve System that determine the money supply.
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Macroeconomics Question 7
If the economy was in a recession and Congress and the Federal Reserve Bank BOTH wanted to correct it quickly, which policy combination would be best?A raise taxes, buy treasury bondsB cut taxes, sell treasury bondsC increase government spending, sell treasury bondsD cut taxes, buy treasury bonds
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Macroeconomics Question 7
If the economy was in a recession and Congress and the Federal Reserve Bank BOTH wanted to correct it quickly, which policy combination would be best?A raise taxes, buy treasury bondsB cut taxes, sell treasury bondsC increase government spending, sell treasury bondsD cut taxes, buy treasury bonds
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Macroeconomics Question 8
A government decision to increase taxes is MOST related to which combination of events?Consumption Aggregate Demand GDPA decrease decrease decrease
B decrease increase decrease
C increase increase increase
D decrease decrease increase
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Macroeconomics Question 8
A government decision to increase taxes is MOST related to which combination of events?Consumption Aggregate Demand GDPA decrease decrease decrease
B decrease increase decrease
C increase increase increase
D decrease decrease increase
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Microeconomics Question 1
The SOLID arrows on this circular flow diagram represent the flow ofA goods and services.B money.C taxes.D imports and exports.
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Microeconomics Question 1
The SOLID arrows on this circular flow diagram represent the flow ofA goods and services.B money.C taxes.D imports and exports.
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Microeconomics Question 2
The primary of role of money in the economy is toA help set interest rates at financial institutions.B provide a mechanism to assist foreign trade.C serve as a medium of exchange for goods and services.D identify prices in various markets.
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Microeconomics Question 2
The primary of role of money in the economy is toA help set interest rates at financial institutions.B provide a mechanism to assist foreign trade.C serve as a medium of exchange for goods and services.D identify prices in various markets.
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Microeconomics Question 3
Mila says “as price increases, demand decreases.” Mila isA correct; that is the law of demand.B incorrect; she means demand increases.C incorrect; she means quantity demanded decreases.D correct; that is the law of supply.
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Microeconomics Question 3
Mila says “as price increases, demand decreases.” Mila isA correct; that is the law of demand.B incorrect; she means demand increases.C incorrect; she means quantity demanded decreases.D correct; that is the law of supply.
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Microeconomics Question 4
Which describes what has happened in the graph above?A The increase in supply has caused an increase in equilibrium quantity.B An increase in demand has caused a decrease in equilibrium price.C Supply has decreased, causing an increase in equilibrium price.D Demand has increased, causing an increase in equilibrium quantity.
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Microeconomics Question 4
Which describes what has happened in the graph above?A The increase in supply has caused an increase in equilibrium quantity.B An increase in demand has caused a decrease in equilibrium price.C Supply has decreased, causing an increase in equilibrium price.D Demand has increased, causing an increase in equilibrium quantity.
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Microeconomics Question 5
The graph above shows how a change in equilibrium price and quantity can result fromA a decrease in demand.B an increase in price.C an increase in supply.D a decrease in supply.
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Microeconomics Question 5
The graph above shows how a change in equilibrium price and quantity can result fromA a decrease in demand.B an increase in price.C an increase in supply.D a decrease in supply.
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Microeconomics Question 6
The change seen in the graph would have been caused byA a decrease in technology.B an increase in the number of consumers.C a decrease in the price of resources.D an increase in business taxes and regulation.
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Microeconomics Question 6
The change seen in the graph would have been caused byA a decrease in technology.B an increase in the number of consumers.C a decrease in the price of resources.D an increase in business taxes and regulation.
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Microeconomics Question 7
In the graph above, a forced price of ₤.40 represents which situation?A A surplus because the price is below equilibrium.B A surplus because the price is above equilibrium.C A shortage because the price is below equilibrium.D A shortage because the price is above equilibrium
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Microeconomics Question 7
In the graph above, a forced price of ₤.40 represents which situation?A A surplus because the price is below equilibrium.B A surplus because the price is above equilibrium.C A shortage because the price is below equilibrium.D A shortage because the price is above equilibrium
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Microeconomics Question 8
Demand for gasoline is said to be fairly inelastic for many people. This is probably becauseA it has many substitutes and is easily attained.B it is difficult to make cheaply.C it has few substitutes and is in large supply.D it has few substitutes and is necessary for most transportation.
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Microeconomics Question 8
Demand for gasoline is said to be fairly inelastic for many people. This is probably becauseA it has many substitutes and is easily attained.B it is difficult to make cheaply.C it has few substitutes and is in large supply.D it has few substitutes and is necessary for most transportation.