BUS1104 Review QUIZ Unit.9 PDF

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Summary

Review Quiz Unit.9...

Description

Started on

Saturday, 27 March 2021, 6:15 PM

State

Finished

Completed on

Saturday, 27 March 2021, 7:25 PM

Time taken

1 hour 10 mins

Marks

41.00/45.00

Grade

91.11 out of 100.00

Question 1 Correct Mark 1.00 out of 1.00

Flag question Question text A decrease in the price of eggs, all other things unchanged, will result in __________ Select one: a. an increase in the demand for eggs.

b. an increase in the supply of eggs. c. a decrease in the demand for eggs. d. a decrease in the supply of eggs. Feedback The correct answer is: an increase in the demand for eggs.

Question 2 Correct Mark 1.00 out of 1.00

Flag question Question text True or False? In the long run, the major cause of inflation is excessive government spending. Select one: True False

Feedback The correct answer is 'False'. Question 3 Correct Mark 1.00 out of 1.00

Flag question Question text A curve that relates an economy’s total output to the total amount of labor employed, holding all other determinants of output constant, is called __________ Select one:

a. an input-output matrix. b. an average output function. c. a marginal product function. d. an aggregate production function.

Feedback The correct answer is: an aggregate production function. Question 4 Correct Mark 1.00 out of 1.00

Flag question Question text Comparative advantage in production of a good occurs __________ Select one: a. when a country can produce that good using fewer resources than could other countries. b. when a country can produce that good at a greater opportunity cost than could other countries. c. when a country can produce that good at a lower opportunity cost than could other countries.

d. when a country has a greater supply of natural resources required to produce that good, compared to other countries. Feedback

The correct answer is: when a country can produce that good at a lower opportunity cost than could other countries. Question 5 Correct Mark 1.00 out of 1.00

Flag question Question text Historical actions indicate that the Fed’s primary goal of monetary policy over the past 20 years has been to __________ Select one: a. maintain high interest rates. b. keep employment rates low. c. limit the availability of consumer credit. d. prevent high rates of inflation.

Feedback The correct answer is: prevent high rates of inflation. Question 6 Correct Mark 1.00 out of 1.00

Flag question Question text Demand is defined as __________ Choose one answer. Select one: a. an amount that is purchased at a specific price, given supply b. a schedule that establishes the price of a good. c. a schedule that shows how much will be purchased at various prices during a particular period, all other things unchanged.

d. the amount that will be bought at a specific price. Feedback The correct answer is: a schedule that shows how much will be purchased at various prices during a particular period, all other things unchanged. Question 7 Correct Mark 1.00 out of 1.00

Flag question Question text Economics is a __________

Select one: a. social science that deals with making choices among alternatives.

b. natural science that concerns itself with allocating relatively scarce resources among alternative ends. c. science that has no theories or models based on the scientific method. d. humanities course that mainly concerns itself with limited wants versus unlimited resources. Feedback The correct answer is: social science that deals with making choices among alternatives. Question 8 Correct Mark 1.00 out of 1.00

Flag question Question text True or False? Investment contributes to economic growth. Select one: True

False Feedback The correct answer is 'True'. Question 9

Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following statements is true of the U.S. experience with regards to the Phillips curve hypothesis? I. Values of inflation and unemployment rates during the 1960s are atypical in that they generally conformed to the tradeoff implied by the Phillips curve. II. Annual observations of inflation and unemployment from 1961 to 2008 do not seem consistent with a Phillips curve. III. Annual observations of inflation and unemployment from 1961 to 2008 seem consistent with a Phillips curve. Select one: a. I only b. II only c. I and II only

d. III only Feedback The correct answer is: I and II only Question 10 Correct Mark 1.00 out of 1.00

Flag question Question text The income households receive less the personal income taxes they pay is __________ Choose one answer. Select one: a. net savings. b. disposable personal income.

c. gross private domestic investment. d. Personal consumption. Feedback The correct answer is: disposable personal income. Question 11 Correct Mark 1.00 out of 1.00

Flag question Question text The government purchases component of aggregate demand includes

I. all purchases by government agencies of goods and services produced by firms. II. direct production by government agencies themselves. III. government expenditures on transfer payments. Select one: a. I only b. I and II only

c. I and III only d. I, II, and III Feedback The correct answer is: I and II only Question 12 Correct Mark 1.00 out of 1.00

Flag question Question text The Communist Manifesto was written by __________ Select one: a. Karl Marx and Friedrich Engels.

b. David Ricardo and Thomas Malthus. c. John Stuart Mill and Alfred Marshall

d. Vladimir Lenin and Joseph Stalen Feedback The correct answer is: Karl Marx and Friedrich Engels. Question 13 Correct Mark 1.00 out of 1.00

Flag question Question text What is the fundamental argument in Malthus’ An Essay on the Principle of Population? Select one: a. Ultimately, population growth rate would outpace growth in real GDP leading to declining standards of living. b. Population growth tends to undermine global stability which is a stimulus for future wars and conflicts. c. Population would increase at a geometric rate and the food supply at an arithmetic rate and that this disharmony would lead to forced return to subsistence-level conditions.

d. Population growth is the root cause of hunger, poverty, environmental destruction, disease, and social unrest. Feedback The correct answer is: Population would increase at a geometric rate and the food supply at an arithmetic rate and that this disharmony would lead to forced return to subsistence-level conditions. Question 14 Incorrect

Mark 0.00 out of 1.00

Flag question Question text Demand is best defined as the __________ Select one: a. amount of a commodity that buyers would be willing and able to purchase at a specific price. b. price that buyers would be willing and able to pay for a specific quantity of a good. c. relationship between the price of a good and the quantity people are able to purchase and the independent variables that determine quantity.

d. relationship between the price of a good and the quantity people are willing and able to purchase and the independent variables that determine quantity. Feedback The correct answer is: relationship between the price of a good and the quantity people are willing and able to purchase and the independent variables that determine quantity. Question 15 Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following is false about potential output?

Select one: a. It is the level of output an economy can achieve when labor is employed at its natural level. b. It is the long run output level that guarantees price stability.

c. It is also called the natural level of real GDP. d. If a country is producing its potential output, then it is producing at a point on its production possibilities frontier. Feedback The correct answer is: It is the long run output level that guarantees price stability. Question 16 Correct Mark 1.00 out of 1.00

Flag question Question text Economic growth I. is represented by an outward shift of the production possibilities curve. II. is defined in terms of a series of events that increase the economy’s ability to produce goods and services. III. refers to a process that increases potential output. IV. occurs when the economy operates on its production possibilities frontier. Select one: a. I and IV only b. I, II, and III

c. I, III, and IV d. I, II, III, and IV Feedback The correct answer is: I, II, and III Question 17 Correct Mark 1.00 out of 1.00

Flag question Question text An increase in the U.S. dollar exchange rate means foreigners must pay __________ Select one: a. more for dollars and more for U.S. exports.

b. less for dollars and more for U.S. imports. c. more for dollars and less for U.S. exports. d. less for dollars and less for U.S. exports. Feedback The correct answer is: more for dollars and more for U.S. exports. Question 18 Correct Mark 1.00 out of 1.00

Flag question Question text Economics, generally speaking, is primarily concerned with __________ Select one: a. the operation of the bond and stock markets. b. the issues of income inequality or income equality. c. how people choose among the alternatives available to them.

d. ceteris paribus, the scientific method, and the margin. Feedback The correct answer is: how people choose among the alternatives available to them. Question 19 Correct Mark 1.00 out of 1.00

Flag question Question text The __________ a Lorenz curve lies to (from) the 45-degree line, the __________ the distribution of income. Select one: a. further; more equal

b. closer; less equal c. further; more unequal

d. closer; better as far as economists are concerned. Feedback The correct answer is: further; more unequal Question 20 Correct Mark 1.00 out of 1.00

Flag question Question text True or False? For investment to occur, saving must also occur. Select one: True

False Feedback The correct answer is 'True'. Question 21 Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following is classified as spending on investment? I. new residential construction II. business spending on new equipment III. business spending on structures such as office buildings IV. purchase of government bonds Select one: a. II and III only b. II, III, and IV only c. I, II, and III only

d. I, II, III, and IV Feedback The correct answer is: I, II, and III only Question 22 Correct Mark 1.00 out of 1.00

Flag question Question text

In the 1960s, despite the successful application of expansionary fiscal policy in the United States, Milton Friedman argued that __________ Choose one answer. Select one: a. Keynesian supply-side policies were more effective at stimulating aggregate demand than expansionary fiscal policies. b. aggregate demand is affected by money and not by fiscal policy, and therefore only monetary policy should not be used to move the economy back to its potential output. c. aggregate demand is affected by money and not by fiscal policy, which is why policymakers should institute a policy of steady money growth and allow the economy to reach full employment through a process of self-correction.

d. fiscal policy must be combined with monetary policy to move the economy back to its potential output, without increasing inflationary pressure. Feedback The correct answer is: aggregate demand is affected by money and not by fiscal policy, which is why policymakers should institute a policy of steady money growth and allow the economy to reach full employment through a process of self-correction. Question 23 Not answered Marked out of 1.00

Flag question Question text True or False? Poverty can be defined either in absolute terms or in relative terms. Select one:

True False Feedback The correct answer is 'True'. Question 24 Correct Mark 1.00 out of 1.00

Flag question Question text 1. Which of the following characterizes the relationship between inflation and unemployment in the United States? I. There have been periods in which a clear tradeoff between inflation and unemployment seem to exist. II. There have been periods in which inflation and unemployment rose together. III. There have been periods in which inflation and unemployment fell together. Select one: a. I, II, and III

b. I and II c. I and III d. I only Feedback The correct answer is: I, II, and III Question 25

Correct Mark 1.00 out of 1.00

Flag question Question text What is the difference between economic growth and economic development? Select one: a. Economic growth examines qualitative changes in the processes by which potential output increases over time, whereas economic development economic development examines how a country moves from one point on its production possibility curve to another point on the curve. b. Economic growth implies qualitative changes in productive processes whereas economic development requires quantitative change in virtually every aspect of life. c. Economic growth implies quantitative changes in productive processes whereas economic development requires widespread structural changes in the way people live.

d. There is no difference between the two terms. Feedback The correct answer is: Economic growth implies quantitative changes in productive processes whereas economic development requires widespread structural changes in the way people live. Question 26 Correct Mark 1.00 out of 1.00

Flag question Question text Socialism, as an organizing principle for a national economy, is in large part the product of the ideas of __________ Select one: a. Adam Smith. b. Karl Marx.

c. David Ricardo. d. Thomas Malthus. Feedback The correct answer is: Karl Marx. Question 27 Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following statements is true? Select one: a. Investment subtracts from the natural resource base and depreciation adds to it.

c. I, III, and IV d. I, II, III, and IV Feedback The correct answer is: I, II, and III Question 17 Correct Mark 1.00 out of 1.00

Flag question Question text An increase in the U.S. dollar exchange rate means foreigners must pay __________ Select one:

a. more for dollars and more for U.S. exports.

b. less for dollars and more for U.S. imports. c. more for dollars and less for U.S. exports. d. less for dollars and less for U.S. exports. Feedback The correct answer is: more for dollars and more for U.S. exports. Question 18 Correct Mark 1.00 out of 1.00

Flag question Question text Economics, generally speaking, is primarily concerned with __________ Select one: a. the operation of the bond and stock markets. b. the issues of income inequality or income equality. c. how people choose among the alternatives available to them.

d. ceteris paribus, the scientific method, and the margin. Feedback The correct answer is: how people choose among the alternatives available to them. Question 19 Correct Mark 1.00 out of 1.00

Flag question Question text The __________ a Lorenz curve lies to (from) the 45-degree line, the __________ the distribution of

income. Select one: a. further; more equal

b. closer; less equal

b. closer; less equal c. further; more unequal

d. closer; better as far as economists are concerned. Feedback The correct answer is: further; more unequal Question 20 Correct Mark 1.00 out of 1.00

Flag question Question text True or False? For investment to occur, saving must also occur. Select one: True

False Feedback The correct answer is 'True'. Question 21 Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following is classified as spending on investment? I. new residential construction II. business spending on new equipment III. business spending on structures such as office buildings IV. purchase of government bonds Select one:

a. II and III only b. II, III, and IV only c. I, II, and III only

d. I, II, III, and IV Feedback The correct answer is: I, II, and III only Question 22 Correct Mark 1.00 out of 1.00

Flag question Question text

In the 1960s, despite the successful application of expansionary fiscal policy in the United States, Milton Friedman argued that __________ Choose one answer. Select one: a. Keynesian supply-side policies were more effective at stimulating aggregate demand than expansionary fiscal policies. b. aggregate demand is affected by money and not by fiscal policy, and therefore only monetary policy should not be used to move the economy back to its potential output. c. aggregate demand is affected by money and not by fiscal policy, which is why policymakers should institute a policy of steady money growth and allow the economy to reach full employment through a process of self-correction.

d. fiscal policy must be combined with monetary policy to move the economy back to its potential output, without increasing inflationary pressure. Feedback The correct answer is: aggregate demand is affected by money and not by fiscal policy, which is why policymakers should institute a policy of steady money growth and allow the economy to reach full employment through a process of self-correction. Question 23 Not answered Marked out of 1.00

Flag question Question text True or False? Poverty can be defined either in absolute terms or in relative terms. Select one:

True False Feedback The correct answer is 'True'. Question 24 Correct Mark 1.00 out of 1.00

Flag question Question text 1. Which of the following characterizes the relationship between inflation and unemployment in the United States? I. There have been periods in which a clear tradeoff between inflation and unemployment seem to exist. II. There have been periods in which inflation and unemployment rose together. III. There have been periods in which inflation and unemployment fell together. Select one: a. I, II, and III

b. I and II c. I and III d. I only Feedback The correct answer is: I, II, and III Question 25

Correct Mark 1.00 out of 1.00

Flag question Question text

What is the difference between economic growth and economic development? Select one: a. Economic growth examines qualitative changes in the processes by which potential output increases over time, whereas economic development economic development examines how a country moves from one point on its production possibility curve to another point on the curve. b. Economic growth implies qualitative changes in productive processes whereas economic development requires quantitative change in virtually every aspect of life. c. Economic growth implies quantitative changes in productive processes whereas economic development requires widespread structural changes in the way people live.

d. There is no difference between the two terms. Feedback The correct answer is: Economic growth implies quantitative changes in productive processes whereas economic development requires widespread structural changes in the way people live. Question 26 Correct Mark 1.00 out of 1.00

Flag question Question text Socialism, as an organizing principle for a national economy, is in large part the product of the ideas of __________ Select one: a. Adam Smith. b. Karl Marx.

c. David Ricardo. d. Thomas Malthus. Feedback The correct answer is: Karl Marx.

Question 27 Correct Mark 1.00 out of 1.00

Flag question Question text Which of the following statements is true? Select one: a. Investment subtracts...