This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Macroeconomics – Quiz 107 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Macroeconomics Quiz 107 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. An organization that seeks to improve working conditions and pay A) Collective Bargaining. B) Cooperative. C) Labor Union. D) Business Franchise. Show Answer Correct Answer: C) Labor Union. 2. A system of taxation where one tax rate is applied to all personal income with no deductions A) Direct taxation. B) Regressive taxation. C) Progressive taxation. D) Flat rate / proportional tax. Show Answer Correct Answer: D) Flat rate / proportional tax. 3. Who finds the best talent for Hollywood? A) Bob Namvar. B) Dwayne Johnson. C) Bob Bob Bob. D) United Talent Agency. Show Answer Correct Answer: A) Bob Namvar. 4. Match the following description with the factor that impacts growth in developing nations:Embargoes or sanctions imposed on North Korea has made it tough for them to develop. A) Geography and Natural Resources. B) Free Trade. C) Investments in Human Capital. D) Cultural Beliefs. Show Answer Correct Answer: B) Free Trade. 5. Is the monetary policy making body of the Federal Reserve System. A) The Federal Open Market Committee (FOMC). B) Board of Banks. C) Governor of Georgia. D) None of above. Show Answer Correct Answer: A) The Federal Open Market Committee (FOMC). 6. Kendall makes $ 40, 000 per year and has a tax rate of 20%. Kaitlin makes $ 150, 000 per year and has a tax rate of 30%. What type of tax is this? A) Regressive. B) Progressive. C) Fair. D) Proportional. Show Answer Correct Answer: B) Progressive. 7. TRUE or FALSE:In order to calculate the unemployment rate, Eurostat needs to know how many people are not in the labor force. A) FALSE. B) TRUE. Show Answer Correct Answer: A) FALSE. 8. To expansionary in Fiscal policy is to overcome unemployment and reduces recession, what is fiscal policy used too maintain economics growth? i. Increase in government purchases of goods & services ii. Reduces Taxes iii. Increase in government spending iv. Increase in transfer payment A) I and ii. B) I, ii and iii. C) Ii, iii and iv. D) All of the above. Show Answer Correct Answer: D) All of the above. 9. Which statement about industrial policy is incorrect? A) It includes temporarily imposing trade barriers on key sectors, such as manufacturing. B) It includes the use of tax cuts aimed at specific industries. C) It includes improving the geographical and occupational mobility of labor. D) It is harmful if the government lacks the necessary information to promote certain sectors. Show Answer Correct Answer: C) It includes improving the geographical and occupational mobility of labor. 10. Suppose at the federal reserve bank announces that it will be making a change to a key interest rate to increase the money supply. This is likely because A) The federal reserve bank is worried about inflation. B) The federal reserve bank is worried about unemployment. C) The federal reserve bank is hoping to reduce the demand for goods and services. D) The federal reserve bank is worried that economy is going too quickly. E) The federal reserve bank is worried that the federal government will engage in fiscal policy. Show Answer Correct Answer: B) The federal reserve bank is worried about unemployment. 11. An increase in costs will A) Shift aggregate demand. B) Shift aggregate supply. Show Answer Correct Answer: B) Shift aggregate supply. 12. Promissory notes issued by firms when they borrow money. A) Dividends. B) Corporate bonds. C) Treasury bills. D) Issuing stocks. Show Answer Correct Answer: B) Corporate bonds. 13. When the economy is "overheating", the Fed will often ..... A) Increase discount rates. B) Stay the course. C) Decrease discount rates. D) Decrease the reserve requirement. Show Answer Correct Answer: A) Increase discount rates. 14. The subsistence income as a level affording minimum consumptionof basic necessities. A) Inadequate wages. B) Poverty threshold. C) Poverty line. D) Labor problems. Show Answer Correct Answer: B) Poverty threshold. 15. Individuals are unemployed due to a lack in skills that modern industries need. A) Seasonal Unemployment. B) Structural Unemployment. C) Cyclical Unemployment. D) Frictional Unemployment. Show Answer Correct Answer: B) Structural Unemployment. 16. Which is a final product in a bakery? A) Eggs. B) Cake. C) Sugar. D) Flour. Show Answer Correct Answer: B) Cake. 17. Who is a stockbroker A) Someone who owns, buys and sells shares for money. B) Someone who owns shares. C) All of the above. D) None of above. Show Answer Correct Answer: C) All of the above. 18. If an economy is currently experiencing a contraction or recession, which stage of the business cycle will they experience next? A) Peak. B) Trough. C) Cyclical. D) Expansion. Show Answer Correct Answer: B) Trough. 19. Which of the following is macroeconomics issue? A) Proton and Perodua open a new branch at Sabah and Sarawak. B) Unemployment is 4-6 percent. C) Tenaga Nasional Berhad had increase their profit to 25%. D) None of the above. Show Answer Correct Answer: B) Unemployment is 4-6 percent. 20. Because mutual funds spread your investment around in multiple stocks and bonds, they are a great example of this term A) Diversification. B) Debt. C) Overdraft. D) Beneficiary. Show Answer Correct Answer: A) Diversification. 21. If this economy moves from paint A to point B, then which of the following statements is correct? A) This economy has moved from a point of inefficient production to a point of efficient production. B) This economy has experienced economic growth. C) This economy has experienced an increase in employment. D) This economy has moved from a point of efficient production to a point of inefficient production. E) None of the above. Show Answer Correct Answer: E) None of the above. 22. What happens when water comes in contact with alkai metals? A) It explodes and burns. B) It freezes. C) It breaks. D) It melts into liquid. Show Answer Correct Answer: A) It explodes and burns. 23. Which of the following type of spending do not fall under GDP? A) Investment. B) Consumer. C) Imports. D) Government. Show Answer Correct Answer: C) Imports. 24. Which group of people will benefit from unanticipated inflation? A) Borrowers. B) Lenders. C) Savers. D) Fixed Income. Show Answer Correct Answer: A) Borrowers. 25. Making rational decisions "at the margin" means that people A) Make those decisions that do not impose a marginal cost. B) Evaluate how easily a decision can be reversed if problems arise. C) Compare the marginal cost and marginal benefits of each decision. D) Always calculate the marginal dollar cost for each decision. E) Always calculate the marginal utility for each decision. Show Answer Correct Answer: C) Compare the marginal cost and marginal benefits of each decision. 26. ..... is trying to understand how both individuals and nations behave in response to certain material constraints. A) The underlying essence of economics. B) Global Development Growth. C) Domestic Growth Economic. D) Micro and Macro economics. Show Answer Correct Answer: A) The underlying essence of economics. 27. Reduction in the actual level of unemployment would result in which of the following effects with respect to the nation's production possibilities curve? A) It would shift the curve to the left. B) It would shift the curve to the right. C) It would not shift the curve; it would be represented by moving from a point inside the curve toward the curve. D) It would not shift the curve; it would be represented by moving from a point on or near the curve to a point inside or further inside the curve. Show Answer Correct Answer: C) It would not shift the curve; it would be represented by moving from a point inside the curve toward the curve. 28. If the economy is in a recession, what will the Federal Reserve Board most likely do to initiate a recovery? A) Lower interest rates. B) Increase taxes. C) Lower taxes. D) Increase interest rates. Show Answer Correct Answer: A) Lower interest rates. 29. When the actual inflation rate is greater than the anticipated inflation rate, which of the following is most likely to suffer? A) Employers who hire workers with longterm labor contracts. B) Those who lend at a fixed interest rate. C) Those who borrow at a fixed interest rate. D) Retired persons with cost-of-living adjustment in their benefits. Show Answer Correct Answer: B) Those who lend at a fixed interest rate. 30. Which of the following is not the area of macroeconomics: A) Unemployment rate. B) Market structure. C) Foreign exchange rate. D) Inflation rate. Show Answer Correct Answer: B) Market structure. ← PreviousNext →Related QuizzesEconomics QuizzesFinance QuizzesMacroeconomics Quiz 1Macroeconomics Quiz 2Macroeconomics Quiz 3Macroeconomics Quiz 4Macroeconomics Quiz 5Macroeconomics Quiz 6Macroeconomics Quiz 7Macroeconomics Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books