An increase in the demand for a good is represented by: A) a leftward movement along the demand curve. B) a rightward movement along the demand curve. C) a left shift to a new demand curve. D) a right shift to a new demand curve. ANSWER D
Date: September 2nd, 2020
Suppose there currently is an inflationary ga A) Reduce government spending. B) Increase government spending. C) Reduce the nation’s aggregate supply. D) nothing ANSWER A
Date: September 2nd, 2020
As a result of money in an economy, A) transaction costs are higher than would be the case in a barter economy. B) people are greedier than in a barter economy. C) real Gross Domestic Product (GDP) and economic growth are greater than they would be in a barter economy. D) stealing exists and people […]
Date: September 2nd, 2020
New growth theory argues that A) growth relies on maintaining lower growth rates of population, especially in less developed countries. B) technology cannot be looked at as an outside factor without an explanation of what drives it. C) technology is the key factor that explains growth but technology is beyond economic explanation itself. D) growth […]
Date: September 2nd, 2020
Two goods are said to be substitutes when a fall in the price of one good: A) leads to a left shift in the demand for the other good. B) leads to a rise in the price of the other good. C) doesn’t affect the demand for the other good. D) leads to a right […]
Date: September 2nd, 2020
An important foundation of the new growth theory is that A) we will get more technological advances when the rewards for producing them are greater. B) the growth rate of the capital stock is more important than the growth rate of new knowledge in generating economic growth. C) we will get more technological advances the […]
Date: September 2nd, 2020
Refer to the above figure. Suppose that the economy was originally at point A, and then it reached point C by means of a fiscal policy action. Which of the following is correct? A) Point C is both a short-run equilibrium and a long-run equilibrium that could have been attained through an increase in government […]
Date: September 2nd, 2020
In the above figure, saving will equal zero when real disposable income equals A) 500. B) 600. C) 60. D) 0. ANSWER B
Date: September 2nd, 2020
Which of the following represents a function of money? A) standard of deferred payment B) medium of exchange C) unit of accounting D) all of the above ANSWER D
Date: September 2nd, 2020
In the above figure, when real disposable income equals 600 A) there is dissaving. B) real disposable income exceeds consumption. C) consumption is less than disposable income. D) consumption equals real disposable income. ANSWER D
Date: September 2nd, 2020
