The command of World War II (1941–45) (a) was more structured than that of World War I (1914–18) (WWI). (b) experienced the same unconstitutionality problems experienced during WWI. (c) was distinct from WWI in most ways. (d) did not involve rationing of goods and services, given the high unemployment of the period. ANSWER (a)
According to the partisan party model, a. the primary emphasis of the liberal party is on full employment and income distribution. b. the liberal party stresses price stability as their most important goal. c. employment stability is most important to the conservative party. d. only two parties exist. e. Both a and d. ANSWER […]
The growth accounting equation suggests that the growth rate of output is equal to the growth rate of ________. A) total factor productivity plus the contributions of both capital and labor B) total factor productivity minus the rate of depreciation C) capital and labor D) the overall population ANSWER A
During the antebellum period, the U.S. used more economic output and resources than were domestically available during expansions and less during contractions. International trade assisted during these cyclical times. Indicate whether the statement is true or false ANSWER TRUE
Those economists who believe that monetary policy is more powerful than fiscal policy argue that the a. LM curve is vertical. b. IS curve is horizontal. c. interest rate elasticity of investment is large. d. interest rate elasticity of investment is small. ANSWER C
According to the quantity theory of money, inflation results when excessive paper money is in circulation. Indicate whether the statement is true or false ANSWER TRUE
The rules of strict constitutionality apply even during times of war in the U.S. Indicate whether the statement is true or false ANSWER False Using the economic way of thinking and holding all else constant, choose the best answer among those provided.
A major contribution of the Solow model is its ________. A) insight into what distinguishes rich economies from poor economies B) explanation of why productivity grows over time C) demonstration that the key to sustained growth is a high level of saving D) encouragement of policies to limit population growth ANSWER A
The majority of blacks were shipped from West Africa, but some also came from Madagascar and Zanzibar. Indicate whether the statement is true or false ANSWER TRUE
Assume there are 75 transactions a year in an economy with a money supply of $300 . If the average value of each transaction is $20, then the velocity of money is a. 1/2. b. 1 c. .2 d. 20. ANSWER C
