Reference no: EM13969622
1.The two frameworks conventional economists generally use to analyze macroeconomic issues are
A.the inflation and the unemployment frameworks
B.the short-run and the long-run frameworks
C.the business cycle and the growth cycle frameworks
D.the stagnationist and the Post-Keynesian frameworks
2.The relationship between real and nominal interest rate can be expressed by
A.real interest rate = nominal interest rate + inflation
B.real interest rate = inflation - nominal interest rate
C.real interest rate = nominal interest rate - inflation
D.The real interest rate cannot be calculated.
3.Which of the following economic activities would be included in the U.S. domestic gross product (GDP)?
A.Illegal drug sales
B.Pure services, such as haircuts
C.Illegal prostitution
D.Work performed and paid for in cash to avoid income tax
4.Cyclical unemployment is defined as unemployment that results from
A.fluctuations in economic activity
B.structural changes in the economy
C.changes in technology
D.the aging of the population
5.The longest business cycle expansion in U.S. history occurred in the 10 years from
A.1919 until 1929
B.1938 until 1948
C.1959 until 1969
D.1991 until 2001
6.Economics is the study of how
A.governments allocate resources in the face of constraints
B.government policies can be used to meet individuals' wants and desires
C.human beings coordinate their wants and desires
D.scarce resources are allocated to their most productive uses
7. Given that diesel cars get much better gas mileage than the typical car, an increase in the price of gasoline would be expected to
A. increase the demand for diesel cars
B. decrease the demand for gasoline
C. decrease the demand for diesel cars
D. increase the demand for gasoline
Management in terms of liability
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