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Macroeconomics Quiz 132 (20 MCQs)

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1. If the FED decided to increase the money supply this is most likely because the economy has
2. In general, the higher the potential return on an investment, the riskier the investment.
3. Full employment is one of macroeconomics goal.
4. An example of a proportional tax would be
5. An acceptable example of economic regulation, a characteristic of a government in a mixed economy, include which of the following:
6. George is moving to New York and, as a result, has no job. This is an example of .....
7. Which of these policies is likely to have the longest time lag?
8. A form of unemployment reflecting the voluntary leaving or being fired of a job and searching for a new one
9. Investment
10. A ..... is a reduction in the value of a currency that is set under a fixed exchange rate regime.
11. What is a series of cycles of economic expansion?
12. LM curve in Mundell-Fleming model
13. Efficency wages are wages that employers set above the equilibrium wage rate as an incentive for better employee performance.
14. Which of the points in the graph is associated with the peak of business cycle?
15. The relationship between price and the quantity demanded of a certain good or service
16. If a checking account has an interest rate of 1% and a government bond has an interest rate of 2%, the opportunity cost of holding the checking account as money is:
17. If the government wants to contract aggregate demand, it can ..... government purchases or ..... taxes.
18. The General Theory of Employment. Interest and Money 2. Keynesian Economics3. the " Keynesian Consensus"
19. Which of the following is included in the calculation of personal income, but not national income?
20. Listing the factors of production for starting a business addresses which basic economic questions?
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