This quiz works best with JavaScript enabled. Home > Finance > Economics > Macroeconomics > Macroeconomics – Quiz 69 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Macroeconomics Quiz 69 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. An unemployment rate of 4.8% suggests Australia is in a: A) Downswing. B) Trough. C) Boom. D) Upswing. Show Answer Correct Answer: C) Boom. 2. A mean market when prices move down for several months or years in a row is known as a A) Bear market. B) Bull market. Show Answer Correct Answer: A) Bear market. 3. If the Fed increases the money supply, it is implementing a(n) ..... policy A) Contractionary monetary. B) Expansionary monetary. C) Expansionary fiscal. D) Contractionary fiscal. Show Answer Correct Answer: B) Expansionary monetary. 4. In which part of the GDP calculation does this fit?Australia exported $ 6 billion worth of goods in 2018, but imported $ 10 billion in goods. A) Consumer spending. B) Government spending. C) Net exports. D) Investment spending. Show Answer Correct Answer: C) Net exports. 5. Is a way to illustrate how a regular group of goods and services changes over time. A) Final Goods. B) Consumer Price Index. C) Durable Goods. D) Market Basket. Show Answer Correct Answer: B) Consumer Price Index. 6. What are the determinants of aggregate supply? A) Changes in demand, interest rates, consumer spending, and inflation. B) Changes in government spending, taxes, and fiscal policy. C) Changes in exchange rates, imports, and exports. D) Changes in input prices, productivity, technology, government regulations, and expectations. Show Answer Correct Answer: D) Changes in input prices, productivity, technology, government regulations, and expectations. 7. In the quantity theory of money, V represents A) The value of a good. B) The value of a dollar. C) The velocity of a dollar. D) The velocity of production. Show Answer Correct Answer: C) The velocity of a dollar. 8. If the government spending is more than its revenue, it is called as ..... A) Budget. B) Surplus budget. C) Deficit budget. D) Loss. Show Answer Correct Answer: C) Deficit budget. 9. Resources can be considered free becuase ..... A) Resources are free because the available quantity is infinite. B) Resources are free because the available quantity exceeds the desired use. Show Answer Correct Answer: B) Resources are free because the available quantity exceeds the desired use. 10. If the general price level doubles and at the same time a worker's real wage rate increases, what must be true of the worker's nominal wage rate? A) It decreased. B) It doubled. C) It increased by less than double. D) It did not change. E) It increased by more than double. Show Answer Correct Answer: E) It increased by more than double. 11. What is the total monetary or market value of all finished goods and services produced within a country's borders called? A) Equilibrium price. B) Consumer Price Index (CPI). C) Trade-off. D) Gross Domestic Product (GDP). Show Answer Correct Answer: D) Gross Domestic Product (GDP). 12. One of the purposes of GDP statistics is: A) Helping the government to make decisions. B) Enabling firms to decide what price to charge. C) Ensuring people make the right investment decisions. D) Calculating how much profit firms can make. Show Answer Correct Answer: A) Helping the government to make decisions. 13. What is not an example of a form of quantity control? A) Minimum wage. B) Taxi medallions. C) Fishing licenses. D) Restricting how much foreign currency people can buy. Show Answer Correct Answer: A) Minimum wage. 14. What goods are excluded from GDP? A) Manufactured Goods. B) Intangible Goods. C) Intermediate Goods. D) Final Goods. Show Answer Correct Answer: C) Intermediate Goods. 15. Which of the following is not one of the five shifters of the supply curve? A) Expectation. B) Input price. C) Number of producers. D) Production. Show Answer Correct Answer: D) Production. 16. GDP, CPI, and the unemployment rate are all A) Signs that the economy is peaking. B) Signs that the economy is in contraction. C) Economic indicators used to determine the state and direction of the economy. D) The result of economic expansion. Show Answer Correct Answer: C) Economic indicators used to determine the state and direction of the economy. 17. The components of AS/AD model are Aggregate Demand (AD) and Aggregate Supply (AS) curves A) False. B) True. Show Answer Correct Answer: A) False. 18. A table that shows a range of prices for a good or service and the quantity supplied at each price A) Substitute good. B) Shift in supply. C) Demand schedule. D) Supply schedule. Show Answer Correct Answer: D) Supply schedule. 19. The money supply would fall if A) Households decide to hold relatively more currency and relatively fewerdeposits and banks decide to hold relatively more excess reserves andmake fewer loans. B) Households decide to hold relatively more currency and relatively fewerdeposits and banks decide to hold relatively fewer excess reserves andmake more loans. C) Households decide to hold relatively less currency and relatively moredeposits and banks decide to hold relatively more excess reserves andmake fewer loans. D) Households decide to hold relatively less currency and relatively moredeposits and banks decide to hold relatively less excess reserves and makemore loans. Show Answer Correct Answer: A) Households decide to hold relatively more currency and relatively fewerdeposits and banks decide to hold relatively more excess reserves andmake fewer loans. 20. The money that businesses spend in; buildings, land, equipment and people is also known as:Investment. A) True. B) False. Show Answer Correct Answer: A) True. 21. IS curve shows equilibrium condition in which of the following market? A) Labour market. B) Capital market. C) Commodity market. D) Money market. Show Answer Correct Answer: C) Commodity market. 22. This is the study of the production and consumption of goods and services. A) Macroeconomics. B) Statistics. C) Microeconomics. D) Economics. Show Answer Correct Answer: D) Economics. 23. Regressive taxes ..... A) Are higher the more you make. B) Are lower the more you make. C) Are the same for everyone. D) None of above. Show Answer Correct Answer: B) Are lower the more you make. 24. Any good Macroeconomist will tell you that when a country's economy is growing, the government should utilize ..... policy and when a country's economy is shrinking the government should utilize ..... policy. A) Expansionary, expansionary. B) Contractary, expansionary. C) Contractionary, contractionary. D) Expansionary, contractionary. Show Answer Correct Answer: B) Contractary, expansionary. 25. Private saving = A) Y-G-C. B) Y-G-C. C) Y-T-C-G. D) Y-T-C. Show Answer Correct Answer: D) Y-T-C. 26. The quantity theory of money states that the central bank, which controls the money supply, has ultimate control over ..... A) Output. B) Rate of infation. C) Interest rate. D) Velocity of money. Show Answer Correct Answer: B) Rate of infation. 27. If investment decreases by 20 billion dollars and the MPC is.5, the aggregate demand curve will shift how? A) Left by 20 billion dollars. B) Left by 40 billion dollars. C) Right by 40 billion dollars. D) Right by 20 billion dollars. Show Answer Correct Answer: B) Left by 40 billion dollars. 28. Say prices are constant, however, there is an increase in the value of financial assets. What would be the change? A) AD shifts right. B) AS shifts right. C) There would be no change in AS/AD. D) AS shifts left. Show Answer Correct Answer: B) AS shifts right. 29. Will the following scenario affect the current account or capital account, and will the transaction be a debit or credit? A Ukrainian businesswoman buys a majority share of ownership in a U.S. clothing company. A) Capital account; credit. B) Current account; debit. C) Capital account; debit. D) Current account; credit. Show Answer Correct Answer: A) Capital account; credit. 30. What does "CAF" stand for? A) Corporacion Andina de Fomento. B) Corporation of America's Finances. C) Caballero Aburrido Fabuloso. D) Calculation of Actual Fortune. Show Answer Correct Answer: A) Corporacion Andina de Fomento. ← 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