Macro chapter 5, 6, 7, and bridge Questions
and Answers (100% Correct Answers) Already
Graded A+
Suppose that the stock market rises significantly over the
next year, making investors wealthier and more optimistic
about the economy while raising the overall level of
consumption. Is this increase in consumer confidence a
microeconomic or a macroeconomic issue?
a) microeconomic
b) macroeconomic
c) both macro and micro
d) neither [ Ans: ] Macroeconomic
In an attempt to promote renewable energy, the President
and Congress approve an annual rebate to those who
install solar panels on their roofs. What type of economic
policy would this represent?
a) fiscal policy
b) monetary
c) both
d) neither [ Ans: ] Neither
,Which type of economist would be least supportive of
attempts to build a new high-speed railway network by
raising taxes on gasoline?
a) monetarist
b) classical
c) none
d) keynesian [ Ans: ] classical
Some people believe that the government should
guarantee its citizens a basic standard of living by raising
the minimum wage, providing housing assistance to the
poor, and offering health care coverage to everyone. What
type of economist is most likely to favor this view?
a) all would favor
b) classical
c) monetarist
d) keynesian [ Ans: ] keynesian
At which of the following stages is the unemployment rate
likely to be highest?
a) at the end of an economic recovery
b) midway through an economic recession
,c) at the very start of an economic recovery
d) at the very beginning of an economic recession [ Ans: ]
At the very start of an economic recovery
Which of the following is a macroeconomic issue?
a) Alex decides to spend his summer vacation at a science
camp.
b) South Park experiences an economic boom from
increased tourism.
c) Kira's Dress Factory decides to hire more workers.
d) Jamal's Ice Cream Truck shuts down during the winter
due to lack of customers. [ Ans: ] b) south park
experiences an economic boom from increased tourism
Which of the following is an example of monetary policy?
a) A rise in short-term interest rates
b) A new bridge being built by the government
c) A reduction in the federal income tax
d) An increase in Social Security payments [ Ans: ] a) a rise
in short-term interest rates
Calculate the GDP of Dinoland using the expenditures
approach given the following data: personal consumption
, expenditures = $10 billion; gross private domestic
investment = $5 billion; government spending = $3
billion; exports = $2 billion, imports = $1 billion.
a) $21 billion
b) $19 billion
c) $18 billion
d) $17 billion [ Ans: ] b) $19 billion
Suppose that Pandastan has a GDP of $5 billion and a
population of 2 million, while Tigerstan has a GDP of $3
billion and a population of 1 million. Which country has a
higher GDP per capita, and what is that value?
a) Tigerstan; $3,000
b) Tigerstan; $3,333
c) Pandastan; $2,500
d) Pandastan; $4,000 [ Ans: ] a) Tigerstan; $3,000
Which of the following characteristics about Econoville
could be determined based on its GDP?
a) The fact that incomes are very equally distributed in
Econoville.
and Answers (100% Correct Answers) Already
Graded A+
Suppose that the stock market rises significantly over the
next year, making investors wealthier and more optimistic
about the economy while raising the overall level of
consumption. Is this increase in consumer confidence a
microeconomic or a macroeconomic issue?
a) microeconomic
b) macroeconomic
c) both macro and micro
d) neither [ Ans: ] Macroeconomic
In an attempt to promote renewable energy, the President
and Congress approve an annual rebate to those who
install solar panels on their roofs. What type of economic
policy would this represent?
a) fiscal policy
b) monetary
c) both
d) neither [ Ans: ] Neither
,Which type of economist would be least supportive of
attempts to build a new high-speed railway network by
raising taxes on gasoline?
a) monetarist
b) classical
c) none
d) keynesian [ Ans: ] classical
Some people believe that the government should
guarantee its citizens a basic standard of living by raising
the minimum wage, providing housing assistance to the
poor, and offering health care coverage to everyone. What
type of economist is most likely to favor this view?
a) all would favor
b) classical
c) monetarist
d) keynesian [ Ans: ] keynesian
At which of the following stages is the unemployment rate
likely to be highest?
a) at the end of an economic recovery
b) midway through an economic recession
,c) at the very start of an economic recovery
d) at the very beginning of an economic recession [ Ans: ]
At the very start of an economic recovery
Which of the following is a macroeconomic issue?
a) Alex decides to spend his summer vacation at a science
camp.
b) South Park experiences an economic boom from
increased tourism.
c) Kira's Dress Factory decides to hire more workers.
d) Jamal's Ice Cream Truck shuts down during the winter
due to lack of customers. [ Ans: ] b) south park
experiences an economic boom from increased tourism
Which of the following is an example of monetary policy?
a) A rise in short-term interest rates
b) A new bridge being built by the government
c) A reduction in the federal income tax
d) An increase in Social Security payments [ Ans: ] a) a rise
in short-term interest rates
Calculate the GDP of Dinoland using the expenditures
approach given the following data: personal consumption
, expenditures = $10 billion; gross private domestic
investment = $5 billion; government spending = $3
billion; exports = $2 billion, imports = $1 billion.
a) $21 billion
b) $19 billion
c) $18 billion
d) $17 billion [ Ans: ] b) $19 billion
Suppose that Pandastan has a GDP of $5 billion and a
population of 2 million, while Tigerstan has a GDP of $3
billion and a population of 1 million. Which country has a
higher GDP per capita, and what is that value?
a) Tigerstan; $3,000
b) Tigerstan; $3,333
c) Pandastan; $2,500
d) Pandastan; $4,000 [ Ans: ] a) Tigerstan; $3,000
Which of the following characteristics about Econoville
could be determined based on its GDP?
a) The fact that incomes are very equally distributed in
Econoville.
