Econ 104 Bill Goffe, Final Exam Prep Newest Actual
Exam With Complete 280+ Questions And Correct
Detailed Answers (Verified Answers) |Already
Graded A+\
If economic growth was "zero sum", we would most likely see which of the
following?
A. Little change in per capita real GDP around the world over the decades
B. Significant change in per capita real GDP around the world over the decades
C. A shift up in the PWPF
D. A shift down in the PWPF
A. Little change in per capita real GDP around the world over the decades
Which of the following is an example of monetary policy?
A. Fed purchasing debt securities
B. Making decisions to fulfill the dual mandate
C. The treasury selling bonds
D. Increasing the Fed funds rate
C. The treasury selling bonds
,Which of the following compares given prices to base year prices?
A. GDP deflator only
B. Neither GDP deflator or CPI
C. CPI only
D. Both GDP deflator and CPI
D. Both GDP deflator and CPI
A borrower of money benefits when inflation is lower than expected (T or F)
False
Real interest rate= nominal interest rate - inflation
When would inflation be the least costly?
When inflation is expected to be 8% and is actually 8%
Which would be the best example of an investment?
Your parents purchase a new house
Say that the unemployment rate is 10% with 80 million people in the labor force.
If economic conditions improve next month and 1 million people re-enter the
labor force looking for jobs, what happens to the unemployment rate?
It rises
,If total income in an economy grew, what happens to total spending?
Total spending must grow
*income = spending= recession
Recessions are best described as period of slow growth in an economy (T or F)
False (no growing)
Which captures more types of unemployment? U3 or U6?
The U6 "underemployment" unemployment rate
If given real gdp in 2010 and 2015, which formula would you use to find how
much the economy grew on average from 2010-2015?
Annual average growth rate
What would happen to real gdp per capita if labor productivity fell, but the
fraction of the population working increased?
There is not enough information to determine if it will rise, fall, or stay the same
Y/pop= L/pop x Y/L
What is an example of a final good?
A delivery truck owned by UPS
all capital goods are final goods
, What would happen to the per worker production function if human capital
rose?
The curve shifts up
*Increase in HC is an increase in "technology"
Which of the following people is marginally attached to the labor force? Give an
example
A mom who cannot work because her young kids have virtual school
She is not unemployed due to an economic reason
What is an example of a capital good?
A stethoscope at a doctors office
Which of the following is a price index?
A. GDP deflator
B. Real GDP
C. Nominal GDP
D. All of the above
A. GDP Deflator
GDP deflator and CPI index are the only 2 price indexes
How is the Federal debt different from the Fed. deficit?
The deficit is the total amount of treasury bonds sold to the treasury
debt always higher than deficit in the US
Exam With Complete 280+ Questions And Correct
Detailed Answers (Verified Answers) |Already
Graded A+\
If economic growth was "zero sum", we would most likely see which of the
following?
A. Little change in per capita real GDP around the world over the decades
B. Significant change in per capita real GDP around the world over the decades
C. A shift up in the PWPF
D. A shift down in the PWPF
A. Little change in per capita real GDP around the world over the decades
Which of the following is an example of monetary policy?
A. Fed purchasing debt securities
B. Making decisions to fulfill the dual mandate
C. The treasury selling bonds
D. Increasing the Fed funds rate
C. The treasury selling bonds
,Which of the following compares given prices to base year prices?
A. GDP deflator only
B. Neither GDP deflator or CPI
C. CPI only
D. Both GDP deflator and CPI
D. Both GDP deflator and CPI
A borrower of money benefits when inflation is lower than expected (T or F)
False
Real interest rate= nominal interest rate - inflation
When would inflation be the least costly?
When inflation is expected to be 8% and is actually 8%
Which would be the best example of an investment?
Your parents purchase a new house
Say that the unemployment rate is 10% with 80 million people in the labor force.
If economic conditions improve next month and 1 million people re-enter the
labor force looking for jobs, what happens to the unemployment rate?
It rises
,If total income in an economy grew, what happens to total spending?
Total spending must grow
*income = spending= recession
Recessions are best described as period of slow growth in an economy (T or F)
False (no growing)
Which captures more types of unemployment? U3 or U6?
The U6 "underemployment" unemployment rate
If given real gdp in 2010 and 2015, which formula would you use to find how
much the economy grew on average from 2010-2015?
Annual average growth rate
What would happen to real gdp per capita if labor productivity fell, but the
fraction of the population working increased?
There is not enough information to determine if it will rise, fall, or stay the same
Y/pop= L/pop x Y/L
What is an example of a final good?
A delivery truck owned by UPS
all capital goods are final goods
, What would happen to the per worker production function if human capital
rose?
The curve shifts up
*Increase in HC is an increase in "technology"
Which of the following people is marginally attached to the labor force? Give an
example
A mom who cannot work because her young kids have virtual school
She is not unemployed due to an economic reason
What is an example of a capital good?
A stethoscope at a doctors office
Which of the following is a price index?
A. GDP deflator
B. Real GDP
C. Nominal GDP
D. All of the above
A. GDP Deflator
GDP deflator and CPI index are the only 2 price indexes
How is the Federal debt different from the Fed. deficit?
The deficit is the total amount of treasury bonds sold to the treasury
debt always higher than deficit in the US
