Which of the following is true for the period between 1860 and 1910? (a) The number of people in the labor force increased at a faster pace than the total population. (b) The workday lengthened. (c) Real national income decreased. (d) All of the above. ANSWER (a)
Date: September 10th, 2020
In Brinley Thomas’ (1954) theory of the Atlantic Economy, (a) cotton exports to Europe drove the growth of the U.S. economy. (b) people and capital moved to the U.S. when U.S. economic growth was strong. (c) the peaks of the U.S. business cycle were closely aligned with that of European peaks. (d) all of the […]
Date: September 10th, 2020
Friedman’s theory of the natural rate of unemployment and output a. indicates the power of the central bank to target levels of unemployment. b. demonstrates the limits to the trade-off between inflation and unemployment. c. is the theoretical foundation for the monetarist belief that, in the long run, the influence of the money stock is […]
Date: September 10th, 2020
The famous “Kennedy Tax Cut” of 1964 was (a) meant to stimulate private spending. (b) meant to reduce private investment. (c) meant to restrain consumption. (d) designed to increase the federal deficit. ANSWER (a)
Date: September 10th, 2020
The Glass-Steagall Act of 1933 separated commercial banks from most of their securities business. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
The balance of payments schedule can be expressed as a. X(Yƒ, π) − Z(Y, π) − F(r − rƒ) = 0 b. X(Yƒ + π) + Z(Y, π) − F(r − rƒ) = 0 c. X(Yƒ, π) − Z(Y, π) + F(r − rƒ) = 0 d. X(Yƒ, π) + Z(Y, π) + F(r − […]
Date: September 10th, 2020
If children can be considered durable goods, then this would help explain (a) high birth rates among farm families. (b) small family size among farm families. (c) lower birth rates in towns than in the countryside. (d) lower birth rates in the countryside than in towns. ANSWER (c)
Date: September 10th, 2020
According to Monetarists, the natural rate of unemployment in each country will be determined by the structural characteristics of the a. the productive efficiency of that country. b. relationship between the actual price level and the expected price level. c. the monetary policy of that country. d. Both a and b e. All of the […]
Date: September 10th, 2020
Under perfect capital mobility a. there are no restrictions on buying financial assets, though there may be on buying factories and equipment. b. transactions costs have to be zero. c. differential risk in assets across countries are minimal. d. All of the above e. None of the above ANSWER C
Date: September 10th, 2020
All of the following trends and characteristics of American population growth occurred from Independence to the Civil War except (a) The size of the average family was increasing. (b) Populations living in urban places increased. (c) There was extensive settlement in rural areas. (d) Growth was very rapid. ANSWER (a)
Date: September 10th, 2020
