Planned expenditures equal real disposable income A) at every point on the saving function. B) at every point on the consumption function. C) at every point on the 45-degree line. D) when saving equals zero. ANSWER C
Date: September 2nd, 2020
Which of the following economic variables is affected when the government adopts countercyclical fiscal policy? A) Government spending B) Bank reserves C) Interest rates D) M2 measure of money supply ANSWER A
Date: September 2nd, 2020
The mean of 5 numbers is 130. If one of the numbers is recorded incorrectly as 59 instead of 95, what would be the correct mean? A) 140 B) 130 C) 137.2 D) 126.52 ANSWER C
Date: September 2nd, 2020
As more economic development occurs A) the population growth rate increases. B) technological progress slows. C) capital accumulation decreases. D) the population growth rate decreases. ANSWER D
Date: September 2nd, 2020
The minimum level of income per person that is generally necessary for the individual to obtain enough calories, shelter, and clothing to survive is referred to as: A) safety level of income. B) survival wage rate. C) subsistence level of income. D) minimum wage rate. ANSWER C
Date: September 2nd, 2020
Which of the following statements is true? A) Using fewer observations will strengthen the force of an empirical argument. B) The number of observations used does not affect the strength of an empirical argument. C) Empirical arguments can be supported without the use of data. D) Using a large data set will strengthen the force […]
Date: September 2nd, 2020
When was the last year the United States had a budget surplus? A) 2001 B) 1993 C) 2014 D) 1984 ANSWER A
Date: September 2nd, 2020
When households choose to hold money as a store of value, rather than holding assets such as certificates of deposit, stocks, and bonds, ________ demand for money results. A) liquidity B) asset C) transactions D) precautionary ANSWER B
Date: September 2nd, 2020
Which of the following economic variables is affected when the central bank adopts countercyclical monetary policy? A) Interest rates B) Personal income tax rates C) Government spending D) Corporate tax rates ANSWER A
Date: September 2nd, 2020
Assuming all else equal, if the real interest rate decreases, it will lead to: A) a decrease in the quantity of credit demanded by a firm. B) the credit demand curve of a firm to shift to the right. C) an increase in the quantity of credit demanded by a firm. D) the credit demand […]
Date: September 2nd, 2020
