This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Macroeconomics – Quiz 50 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Macroeconomics Quiz 50 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. TRUE or FALSE:So far, there are no reliable estimates of the overall value of household production in major economies. A) TRUE. B) FALSE. Show Answer Correct Answer: B) FALSE. 2. A budget deficit is most likely to occur when A) The value of imports exceeds the value of exports. B) Government spending exceeds tax revenue. C) The volume of imports exceeds the volume of exports. D) Direct and indirect taxes are reduced. Show Answer Correct Answer: B) Government spending exceeds tax revenue. 3. Total value of all final goods and services produced in the economy during a given year, calculated with the prices current in the year in which the output is produced A) GDP. B) Nominal GDP. C) Real GDP. D) Real GDP per Capita. Show Answer Correct Answer: B) Nominal GDP. 4. What is it called when the federal government's expenditures (spending) are less than the federal government's total receipts (money taken in)? A) Budget surplus. B) Budget deficit. C) Trade surplus. D) Trade deficit. Show Answer Correct Answer: A) Budget surplus. 5. The unemployment rate measures the percentage of people A) In the labor force who do not have jobs. B) In the labor force who have part-time jobs but are looking for full-time jobs. C) Who do not have jobs and have given up looking for work. D) In the adult population who do not have jobs. E) In the adult population who have temporary jobs. Show Answer Correct Answer: A) In the labor force who do not have jobs. 6. The percentage of the labor force that is unemployed is the? A) Natural employment rate. B) Unemployment rate. C) Labor force participation rate. D) Employment ratio. Show Answer Correct Answer: B) Unemployment rate. 7. In a local farmer's market, the pricing of the fruits sold by Zoe, Hannah, and Maya are guided by: A) The decisions of Zoe, Hannah, and Maya and their customers. B) The central government. C) Custom or habit. D) Supply and demand. Show Answer Correct Answer: A) The decisions of Zoe, Hannah, and Maya and their customers. 8. The relationship between deficits and debts is A) When budget deficits get smaller, the debt gets smaller. B) When budget deficits get bigger, debt rises more slowly. C) When budget deficits fall to zero, the debt disappears. D) When the budget deficit rises, debt rises more quickly. Show Answer Correct Answer: D) When the budget deficit rises, debt rises more quickly. 9. In an economy, the price index in 2006 was 100 and the real gross domestic product (GDP) was $ 1, 000. In 2010, the price index was 110 and the nominal GDPGDP was $ 2, 200. Based on that information, which of the following can be inferred about the economy's nominal GDP in 2006 and real GDP in 2010? A) Nominal GDP in 2006 = $ 2000; Real GDP in 2010 = $ 1000. B) Nominal GDP in 2006=$ 1000;Real GDP in 2010 =$ 2, 000. C) Nominal GDP in 2006 = $ 1, 100; Real GDP in 2010=$ 2420. D) Nominal GDP in 2006 = $ 1000; Real GDP in 2010 = $ 2420. Show Answer Correct Answer: B) Nominal GDP in 2006=$ 1000;Real GDP in 2010 =$ 2, 000. 10. The Federal Open Market Committee is responsible for which of the following? A) Setting price floors for luxury items. B) Regulating depository institutions. C) Buying and selling US Treasury securities. D) Releasing the Beige Book. Show Answer Correct Answer: C) Buying and selling US Treasury securities. 11. When in an economy is in equilibrium at potential GDP, the actual unemployment rate is A) Equal to the cyclical rate. B) Greater than the natural rate. C) Less than the natural rate. D) Equal to the natural rate. Show Answer Correct Answer: D) Equal to the natural rate. 12. C = a+ b Yda is refers to A) Marginal propensity to consume. B) Marginal propensity to saving. C) Autonomous consumption. D) Disposable income. Show Answer Correct Answer: C) Autonomous consumption. 13. If general prices go up an average of 3% in a year this is an example of A) Inflation. B) Deflation. C) Hyperinflation. D) None of above. Show Answer Correct Answer: A) Inflation. 14. An expansionary monetary policy has been implemented. Which one of the following combinations of macroeconomic changes is most likely to happen? A) A fall in the price of imports and more demand for bank loans. B) A rise in consumption and an increase in house prices. C) An increase in employment and a rise in government borrowing. D) An increase in retail sales and a rise in the savings ratio. Show Answer Correct Answer: B) A rise in consumption and an increase in house prices. 15. Mr. Howard is quitting his job as a teacher and moving to take a new job in Texas. He is A) Cyclically unemployed. B) Seasonally Unemployed. C) Structurally Unemployed. D) Frictionally Unemployed. Show Answer Correct Answer: D) Frictionally Unemployed. 16. If the Fed wanted to lower the interest rate, the way it would do that is by A) Increasing taxes. B) Decreasing taxes. C) Increasing the money supply. D) Decreasing the money supply. Show Answer Correct Answer: C) Increasing the money supply. 17. SERVICES OF DOCTOR USED BY ENTERPRISES A) CONSUMER GOOD. B) CAPITAL GOOD. C) INTERMEDIATE GOOD. D) NONE OF THE ABOVE. Show Answer Correct Answer: C) INTERMEDIATE GOOD. 18. Luxury goods tend to have an A) Elastic demand. B) Inelastic demand. C) Unitary demand. D) None of the above. Show Answer Correct Answer: A) Elastic demand. 19. In circular flow of economy, firms supply A) Labour. B) Goods and services. C) Land. D) Capital. Show Answer Correct Answer: B) Goods and services. 20. All of the following are sections of GDP but ..... A) Consumer spending. B) Investment spending. C) Government spending. D) Net Exports. E) All are parts of GDP. Show Answer Correct Answer: E) All are parts of GDP. ← 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