This quiz works best with JavaScript enabled. Home > Economics > Macroeconomics > Macroeconomics – Quiz 64 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Macroeconomics Quiz 64 (20 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. If Australia has a current account deficit, then: A) We must sell more exports to pay for it. B) We will have a capital account surplus of the same amount. C) We must buy more assets overseas. D) The capital account will also be in deficit. Show Answer Correct Answer: B) We will have a capital account surplus of the same amount. 2. Which one of the following government policies is most likely to reduce structural unemployment? A) Reducing interest rates. B) Lowering taxes. C) Lowering unemployment benefits. D) Increasing the mobility of labour. Show Answer Correct Answer: D) Increasing the mobility of labour. 3. GDP is an important economic measurement because it A) Provides valuable data on unemployment rates. B) Provides valuable data on inflation rates. C) Measures the value of final goods and services produced by a country. D) Measures only the exports of a country. Show Answer Correct Answer: C) Measures the value of final goods and services produced by a country. 4. The exchange of goods and services without using money is known as ..... A) Near money. B) Bartering. C) Double coincidence of wants. D) Fiat money. Show Answer Correct Answer: B) Bartering. 5. When does a situation of deficient demand arise in an economy? A) S<1. B) S>1. C) Ad>AS. D) AD Show Answer Correct Answer: D) AD 6. Which of the following would not be counted in GDP? A) A widget produced in Missouri by a Canadian company. B) A widget produced in Germany by a U.S. company. C) A widget produced in Arkansas by a Chinese company. D) A widget produced in Tennessee by a U.S. company. Show Answer Correct Answer: B) A widget produced in Germany by a U.S. company. 7. John Keynes argued that if the economy was "stuck" in a recession, that ..... should actively "prime the pump" or steer the economy in the short-run A) Government. B) Business investment. C) International trade. D) Federal reserve. Show Answer Correct Answer: A) Government. 8. Which economic measure is the total value of all goods and services produced within a country's borders adjusted for inflation? A) CPI. B) GDP per capita. C) Real CPI. D) Real GDP. Show Answer Correct Answer: D) Real GDP. 9. One effect of a government-imposed seat belt law has been: A) Fewer pedestrian deaths. B) Safer driving. C) An increase in the number of accidents. D) That everyone now wears seat belts. Show Answer Correct Answer: C) An increase in the number of accidents. 10. How is unemployment rate calculated? A) By dividing the number of unemployed people by the number of people in the labor force and multiplying by 100. B) By calculating the percentage of people in the labor force who are unemployed. C) By measuring changes in the value of a basket of goods and services purchased by the average urban consumer. D) By calculating the total value of goods produced and services provided in a country during one year. Show Answer Correct Answer: A) By dividing the number of unemployed people by the number of people in the labor force and multiplying by 100. 11. Policies that promote rules, restrictions, and mandates A) Monetary Policies. B) International Trade Policies. C) Regulatory Policies. D) Fiscal Policy. Show Answer Correct Answer: C) Regulatory Policies. 12. Accumulating money to use later is which role of money? A) Unit of account/standard of value. B) Store of value. C) Medium of exchange. D) None of above. Show Answer Correct Answer: B) Store of value. 13. The table above gives population and labor-market data for an economy. The unemployment rate in this economy is A) 3.3%. B) 5%. C) 10%. D) 33.3%. E) 50%. Show Answer Correct Answer: C) 10%. 14. The MPC is A) The change in consumption divided by the change in income. B) Consumption divided by income. C) The change in consumption divided by the change in saving. D) The change in saving divided by the change in income. Show Answer Correct Answer: A) The change in consumption divided by the change in income. 15. Economic efficiency in a market occurs when A) Consumer surplus is equal to producer surplus. B) Total surplus is at a maximum. C) Equity is maximised. D) Consumer surplus is greater than producer surplus. Show Answer Correct Answer: B) Total surplus is at a maximum. 16. Which type of unemployment is caused by a decline in the business cycle? A) Frictional. B) Seasonal. C) Cyclical. D) Structural. E) Full. Show Answer Correct Answer: C) Cyclical. 17. Which of the following is a disadvantage of franchise? A) Assistance from a parent company. B) Name recognition. C) Shared advertising expenses. D) Must follow parent company business structure. Show Answer Correct Answer: D) Must follow parent company business structure. 18. Which of the following best describes "government payments to encourage or protect a certain type of economic activity" ? A) Subsidy. B) Externality. C) Inflation. D) Depression. Show Answer Correct Answer: A) Subsidy. 19. What is the price for labor A) Value. B) Labor productivity. C) Wages. D) Human capital. Show Answer Correct Answer: C) Wages. 20. The population of Ectenia is 100 people:40 work full-time, 20 work half-time but would prefer to work full-time, 10 are looking for a job, 10 would like to work but are so discouraged that they have given up looking, 10 are not interested in working because they are full-time students, and 10 are retired. What is the number of unemployed? A) 10. B) 20. C) 30. D) 40. Show Answer Correct Answer: A) 10. ← 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