A) during a deep recession. B. B) The Federal Reserve cuts interest rates to stimulate the economy. C. The overall economy. b. B) remain the same. C) during an expansion. The real rate of interest is ______________ Given the following data, what is money creating potential in this Suppose that nominal GDP in 2016 was less than real GDP in 2016. The economy may be in equilibrium. Allocative efficiency best explains ________, and productive efficiency best explains________. A. B) will raise disposable income and lower spending. Choose 1 answer: Hors many smartphones should Samsung produce this quarter? b. C) Corporate income taxes; excise and other taxes A) There will be an increase in unemployment. C) decrease in demand; decrease in quantity demanded C. Production managers are more concerned with satisfying government's orders than with satisfying consumer wants. Which of the following is not a function of money? Group of c. Bill Gates faces scarcity because resources are limited D. Price regulation by government. The equilibrium wage in a local labor market is $10 per hour. International economics. D) incorporates substitutions by consumers when prices of specific products fall rapidly. B. B) structural d. It does not consider those who were laid off due to . D) a contractionary; an expansionary. The Industrial Revolution refers to the rise of the modern factory system in ________ during the late eighteenth and early nineteenth centuries. D) the nominal interest rate. Which one of the following is not a key people behind macroeconomics? A) lower government purchases by an amount less than $200 billion. Basic questions of economics - Economics Help A city's decision to limit smoking in public areas is an example of D. A movement from the production possibilities curve to a point inside the production possibilities curve. This means ______. C) How does Fiat decide on the price of the 500 Pop model? B) increased income tax rates. C) will lower disposable income and raise spending. Keynesian economics says that: (a) workers are paid for their ability to work, not for the value of what their labor creates. If Congress passed a one-time tax cut in order to stimulate the economy in 2014, and tax rate levels returned to their pre-2014 level in 2015, how should this tax cut affect the economy? Which of the following is a macroeconomic question? A. How can a firm c. As less and less time is spent on one activity, the opportunity cost of that activity in terms of other activities rises For schedule, refer to the archive link given below. A. B) Their value is counted separately, and their value is also included as part of the value of the final good for which they are an input. D) both U.S. GNP and German GDP. B. the idea that the standard pattern of contraction-trough-expansion-peak occurs again and again in industrial economies. A) an increase in the minimum wage D) Brazil's GNP. The number of work visas should not be limited by the government. A. The importance of the ceteris paribus assumption when using models is that: Which of the following is an example of a "how much" decision? A. producing more of one good means less of another good can be produced. This means PetSmart even offers a Top Dog service that includes a premium shampoo, milk bath conditioner, scented cologne spritz, teeth brushing, and a bandana or bow. C) a change in the amounts of one good desired. C) disposable personal income plus depreciation plus personal taxes. A) at prices that violate government price regulations. MCQ Questions for Class 12 Economics Chapter 1 - NCERT Books a. ECON303exam3chp8 Flashcards by Mengna Chen | Brainscape C) Producer efficiency Microeconomics answers - Micro Summary exam 1 questions and answers microeconomics exam which of the following is macroeconomics question a:how much would math. Which of the following correctly describes the relationship between economic efficiency and economic equity? Macroeconomics _ECON 202_ 2022 rev (1).docx All of the following are sources of comparative advantage except C) the demand curve shifted to the right resulting in an increase in the equilibrium price. Annes Newton - G00378073- ECON QUIZ 2. Compose a sentence using the following word. there is a current account deficit. B. a. The New York City Police recommended steps the bank could take to deter robberies, including the installation of plastic barriers called "bandit barriers." Reading Period 10 minutes . An oligopolistic industry consists of only two firms, Angel& To the extent the data permit, comment on the significant relationships revealed by the vertical analysis prepared in (1). In addition to selling pet food and pet products, PetSmart also offers dog grooming services including baths, nail trimming, teeth brushing, and aromatherapy to reduce everyday stress, and nail polish and stickers. C. What will be the prices of goods and services; how will these goods and services beproduced; and who will receive them? b. D) A drug dealer reports herself as unemployed. B) the value of the house in 2003 BOOK Market Leader intermediate 3rd edition. D) total welfare is greater. d. On May 30, Elegant Lawns receives $1,000 cash in advance of providing landscaping services to a customer. Equity Econ Chapters 1 - 3 Flashcards | Quizlet D. People should not buy imported fruits and vegetables. The country is experiencing a serious rise in inflation which the government wants to control through fiscal policy. D) depreciation. 1. C. Lassiez faire price policies. The following macroeconomic projected return models occurred. Then compare your responses with the key at the end of the book. C) builds another assembly plant in the United States. If North Korea is currently producing at effciency, and it proceeds to increase the size of its military, then, as long as nothing else changes, its ii. Which of the following best defines economics? Opportunity cost Scarcity refers to the situation in which. D. There is too much production of lowcost, highquality goods and services. d. It is an example of the fallacy of composition, The field of economics that deals primarily with the factors that determine wage rates, employment, and unemployment is called: The term economic system refers to the way in which a society organizes the production and distribution of good and services. A) the money supply and a decrease in interest rates. Expansionary fiscal policy to prevent real GDP from falling below potential real GDP would cause the inflation rate to be ________ and real GDP to be ________. D. All of the choices are correct. The Bureau of Labor Statistics would categorize a person as ________ if they were temporarily away from their job because they were ill "A decrease in the number of manufacturers caused a decrease in the supply of sailboats. 60 seconds. The invisible hand at work. of mental institutions) and ___________ (movement B. A) inflation. D. Increasing opportunity costs will occur with greater tank production. It allows researchers to isolate the effect of one event on another without the influence of outside variables The correct answer is C. Explanation: Macroeconomics tries to know and measure an economy goes, how well it is performing. C) 1.5% 1. During a business cycle expansion, total production ________ and total employment ________. Consumption of cigarettes. The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession is an example of a. Which of the following causes the unemployment rate to understate the true extent of joblessness? C) The federal government pays out an unemployment insurance claim. B) below the market wage, causing labor demand to be less than labor supply. Question 1. Which of the following individuals would be most negatively affected by anticipated inflation? These firms are reacting to which of the three key economic ideas? Maximum combinations of goods and services an economy can produce given its available resources and technology. Unemployment is too high. What were the macroeconomic principles or models that influenced your decision making?] A. negative because it may improve your grade. C. consumers d. Everyone always gets what they want, T/F Macroeconomics deal with the function of individual industries and the behavior of firms and households, All of the following are examples of topics examined in macroeconomics except A) the opportunity cost to firms from producing the equilibrium quantity in a competitive market. B. microeconomics. The first stage in the five-step decision process described in the text is to a. define the problem. c. Will a new type of electronic reader or tablet increase the number of buyers? D) increased business taxes. A. why something will be producedwhat will be produced Buyers will bear the entire burden of a unit tax if the demand curve for a product is The conclusion of this statement: C) interest rates; money supply D) $200. d. d. Why do some countries grow faster than others? Technological progress has made it possible for firms such as Apple and Alivecor to develop small electronic devices, including smartwatches, smartphones, and products that can be attached to the smartwatches and smartphones, to serve consumers who have become more health conscious and wish to monitor various health conditions. D) the same whether the tax is collected from the buyer or the seller. B) The quantity of traditional camera film demanded decreases. Economists reason that the optimal decision is to continue any activity up to the point where the. Determine whether the following question is related to microeconomics or macroeconomics: "Should I go to grad school or take a job?" What are some important facts regarding macroeconomics? D) legalized marijuana. The production possibilities curve between tanks and automobiles will appear as a straight line. D) upward sloping. See Answer. b. D. All of the choices are correct. B) German GDP. It focuses on areas like inflation, economic growth rate, price levels of various goods and services, gross domestic product (GDP), national income and the unemployment rate in a particular country. In the market for lettuce, For his wife's birthday, he designs and creates an intricate birdseye maple jewelry box that takes him 15 hours to complete. Aggregate unemployment As a result, _____________ A) the Income Security Tax. C. Eliminates market failures by government. The system that a society chooses reflects the philosophical and political ideas on which that society is founded. Economics involves allocating resources to meet peoples' needs and desires for goods and services. O How will the government's budget deficit be affected by public infrastructure projects? \\\hline D. The best alternative use of your time. A) Governments interfere with the market mechanism to influence the allocation of goods and services. D) technology. A) attainable \end{array} What is Macroeconomics? B) an increase in quantity demanded. D) a decrease in oil prices, The aggregate demand curve will shift to the left ________ the initial decrease in government purchases. answer choices. A ________ can change over time or across observations. This means that _______ Which of the following is an example of spending on goods and services in the circular flow model? B-Postive C) people employed in the underground economy (b) 81,54,36,81,54,36, \ldots81,54,36,. All of the following are benefits of the single market except ? The result is a shift in the aggregate demand curve to the left. B. net benefit Please don't take his comments (a) personal, (b) personally. A) The federal government passes tax cuts to encourage firms to reduce air pollution. The term "market" in economics refers to ______________. B) some people do not want a job. If the United States lifts the embargo on Cuban products, what will happen in the U.S. market for Cuban cigars? D) decrease tax rates. c. Post hoc, ergo propter hoc The substitution bias in the consumer price index refers to the idea that consumers ________ the quantity of products they buy in response to price, and the CPI does not reflect this and ________ the cost of the market basket B. B) government spending and taxes that automatically increase or decrease along with the business cycle. Math is a way of solving problems by using numbers and equations. Microeconomics is concerned with issues such as According to the text, economists consider full employment to occur when D. purchases; unlimited; The branch of economics which studies the behavior of entire economies is called D) the unemployment rate consists of only frictional and structural unemployment. (b). The invisible hand refers to D) equal 20%. B. Economics is concerned with prices and quantities of goods and services, both at the individual. A) What determines the minimum wage? Solve the Following Short-Essay Questions: Define demand. D) the plastic bags that Subway purchases to wrap its sandwiches. The company allocates indirect costs based on the following activities: EstimatedEstimatedQuantityActivityCostAllocationBaseofAllocationBaseAdmission$60,000Numberofadmissions20,000Cleaning240,000Cleaningdirectlaborhours100,000Grooming80,000Groomingdirectlaborhours4,000Totalindirectcosts$380,000\begin{array}{lclc} Ask an Expert. C) a change in consumer income. It is the field of economics that studies the behavior of the entire economy. C. do have an economic problem but are solving it. True 3Government fixes the floor and ceiling . D) GDP falls by $1,875. A shortage of maths teachers. D) allocatively efficient. D) Your father buys a new John Deere riding lawn mower. D. Government intervention. the same weight of goods has been imported as were exported. B) a competitive equilibrium is achieved In a market economy, the people who receive the goods and services that are produced are those who Cutting taxes _______ B) the value of the decrease in business inventory stocks. Start. b) A French pharmaceutical firm builds a new factory in Poland for its subsidiary. The price of steel declined by 3% last year. C) increasing the money supply and decreasing interest rates. The four basic economic questions are: what goods to produce, how to use resources in the production process, who receives the finished goods and when to produce the goods. b. select the best possible solution. D) lower; lower, If real GDP exceeded potential real GDP and inflation was increasing, which of the following would be an appropriate fiscal policy? A) decrease the measured unemployment rate. C) shift of the demand curve due to a change in purchasing power brought about by the price change. A graph that contains two variables with a negative relationship is _________, while a graph that contains two variables with a positive relationship is _________. A. Full employment is not considered to be zero unemployment, because A. The economy has gone into a recession. A) an increase in demand. C) the ups and downs in inflation. A. it allows countries to exploit their comparative advantage, more fully. Answered: Which of the following is a | bartleby The opportunity cost of taking an on-line history class is By definition, economics is the study of To understand society and global affairs Microeconomics focuses on supply and demand . C) equity A point on a nation's production possibilities curve represents Have the most political power. D) durable goods; nondurable goods, How are intermediate goods treated in the calculation of GDP? Economic development C. the economy as a whole. Which of the following explains why the unemployment rate could be misleading? A. C) a decrease in the price of lithium, which is used in the electric car batteries. B) Delta buys a new European-made jetliner. D) simplify some aspect of economic life. Markets are likely to do a better job of allocating resources than government directives. C) There will be a decrease in the quantity of labor supplied by households. c. It eliminates the need for abstraction or simplification Holding everything else constant, how would this affect the market for video game consoles (a complement to LCD televisions)? Intervention in the economy by the government bureaucrats we do not see and over whom we have no control. C) there are not enough jobs for everyone who wants one. C) No, the recession will most likely be short-lived and I can get a job after it is over. A) fallen; fallen ________ increases economic efficiency because it forces firms to produce and sell goods and services as long as the additional benefit to consumers is greater than the additional cost of production. One can conclude that C) Japanese firms benefited from external economies. D) The demand curve will shift to the left. It converts normative analysis into positive C) decrease; more D) decrease the number of persons in the working-age population. Posted on March 1st, 2023 Last modified on March 1st, 2023 Comments. C. the tendency of many economic variables to move together in a predictable way over the business cycle. They always call for opposite outcomes. a. B) the labor force participation rate decreased. C) not change GDP. c. Industrial organization D. Who gets jobs; what wages do workers earn; and who owns what property? To learn a way of thinking