This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Macroeconomics – Quiz 149 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Macroeconomics Quiz 149 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. If the supply and demand curves intersect at a price of $ 20 then any price above that would result in a(n): A) Shortage. B) Equilibrium. C) Increase in demand. D) Surplus. Show Answer Correct Answer: D) Surplus. 2. The key word "transaction" describes with which role of money? A) Unit of account. B) Medium of exchange. C) Store of value. D) None of above. Show Answer Correct Answer: B) Medium of exchange. 3. Bobby earns 23, 258.45 pesos per month. He has a total monthly contribution or 857.50 pesos to SSS, pag-ibig, and PhilHealth. How much is his Taxable income? A) 3, 762.28. B) 3, 726.28. C) 267, 811.40. D) 268, 811.40. Show Answer Correct Answer: D) 268, 811.40. 4. In the long run, a sustained increase in growth of the money supply relative to the growth rate of potential real output will most likely A) Cause the nominal interest rate to fall. B) Cause the real interest rate to fall. C) Reduce the natural rate of unemployment. D) Increase real output growth. E) Do none of the above. Show Answer Correct Answer: D) Increase real output growth. 5. Which one of the following is a correct statement? A) Fiscal policy can be used to affect the pattern of economic activity. B) The Bank of England is responsible for fiscal policy. C) Fiscal policy is only used to affect the demand side of the economy. D) The government uses fiscal policy to control the exchange rate. Show Answer Correct Answer: A) Fiscal policy can be used to affect the pattern of economic activity. 6. The rule of 70 indicates that a 6% annual increase in the potential level of real GDP would lead to the potential output doubling in about ..... years. A) 6. B) 12. C) 24. D) 30. E) 35. Show Answer Correct Answer: B) 12. 7. TRUE or FALSE:Suppose that logging on a hillside above a town has exposed the town to the threat of flooding. A flood would cause $ 10 million in damage to the town but they decide to build a small dam for $ 2 million. Using the maintenance cost approach, the value of the flood-prevention environmental services provided by the trees that were logged is $ 2 million. A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 8. Improving the standard of living and overall production from quarter to quarter, year to year and generation to generation in the economy is the focus of economic A) Growth. B) Equity. C) Freedom. D) Equality. Show Answer Correct Answer: A) Growth. 9. A demand for a product or resource because of its contribution to the final product. Workers with higher productivity tend to earn higher wages. A) Derived Demand. B) Wages. C) Derived Supply. D) Human Capital. Show Answer Correct Answer: A) Derived Demand. 10. Which of the following is NOT the objective of macroeconomics from the ISlamic point of view? A) Social justice. B) Economic growth. C) Universal education. D) Favourable balance of payment. Show Answer Correct Answer: D) Favourable balance of payment. 11. Europe and North America enter a period of recovery from a recession. Other things remaining the same, the impact on the UK economy is most likely to be A) An increase in structural unemployment. B) An increase in the current account deficit. C) A reduction in cyclical unemployment. D) A reduction in UK economic growth. Show Answer Correct Answer: C) A reduction in cyclical unemployment. 12. WHO BENEFITS AND WHO LOSES WHEN UNEXPECTED INFLATION OCCURS? A) Creditors benefit; debtors lose. B) Creditors lose; debtors benefit. Show Answer Correct Answer: B) Creditors lose; debtors benefit. 13. Which does NOT describe GDP? A) It stands for Gross Domestic Product. B) It consists of consumption, investment, gov't spending, & net exports. C) It is just one of many ways to measure an economy. D) It focuses on the wealth distribution of a country. Show Answer Correct Answer: D) It focuses on the wealth distribution of a country. 14. The Diamondbacks start winning a lot. What would most likely happen to their ticket prices? A) The ticket prices will increase. B) The ticket prices will decrease. Show Answer Correct Answer: A) The ticket prices will increase. 15. Calculating the price-elasticity of demand in the market for cell phones A) Macroeconomics. B) Microeconomic. Show Answer Correct Answer: B) Microeconomic. 16. The consumer price index measures A) The cost of buying a fixed basket of goods and services, and calculating how this cost changes from year to year. B) The cost of buying a basket of goods and services, which changes from year to year depending on the price level. C) The cost of buying a basket of goods and services, which changes from year to year depending on consumer tastes and preferences. D) All of the above, depending on what the CPI is trying to measure. Show Answer Correct Answer: A) The cost of buying a fixed basket of goods and services, and calculating how this cost changes from year to year. 17. Baby corn used as ingredients in chopsuey is not considered a Final Good? A) TRUE. B) FALSE. Show Answer Correct Answer: A) TRUE. 18. What is the main cause of hyperinflation? A) Riot or Natural Disaster. B) Excessive growth of money. C) Money Rush. D) Reasonable growth of money. Show Answer Correct Answer: B) Excessive growth of money. 19. An economy is in recession and the government decides to increase spending by $ 4 billion. The MPC is.8. What would be the full increase in real GDP from the change in government spending? A) $ 3.2 billion. B) $ 4 billion. C) $ 16 billion. D) $ 20 billion . Show Answer Correct Answer: D) $ 20 billion . 20. A diagram showing the income received and payments made by each sector of the economy. A) Unemployment cycle. B) Business cycle. C) Flow diagram. D) Circular flow diagram. Show Answer Correct Answer: D) Circular flow diagram. ← PreviousNext →Related QuizzesEconomics QuizzesMacroeconomics Quiz 1Macroeconomics Quiz 2Macroeconomics Quiz 3Macroeconomics Quiz 4Macroeconomics Quiz 5Macroeconomics Quiz 6Macroeconomics Quiz 7Macroeconomics Quiz 8Macroeconomics Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books