Trang chủ 15. Test - Economics - No 11





________ is the primary tool of fiscal policy.

If politicians believed that inflation was too high, which of the following might be undertaken?

As a result of the Fed's purchase of securities worth $300 million in the open market, the required reserves held by the banks has gone up by $270 million. Banks usually tend to hold about 2% excess reserves. The reserve ratio required by the Fed equals ________.

Which of the following is/are true about aggregate demand? I. A decrease in the trade deficit accompanies an increase in domestic aggregate demand. II. Forecasts of a recession are accompanied by an increase in aggregate demand. III. An expansionary fiscal policy, which leads to inflation, is accompanied by increased current demand.

Rapid monetary growth leads to a continual rise in ________.

Which of the following will most likely accompany an unanticipated reduction in short-run aggregate supply?

According to the quantity theory of money, which one of the following economic variables would change in response to an increase in the money supply?

First National Bank currently does not have the legally required cash reserves on hand. The bank expects this situation will only last a day or two. In order to rectify the reserve problem, the bank treasurer borrows cash on the intra-bank loan market. The loan was actually granted by the Central Bank. This is the only action by the Central Bank that day. What sort of policy is the Central Bank probably perusing, and what economic problem is most likely occurring?

If increased borrowing by the government drives up the real interest rate in the U.S., then

The potential employment figure in a country has been reduced by the fact that in recent years, the country has experienced rapid technological growth which has rendered obsolete many of the skill sets previously valued highly. This component of unemployment is commonly referred to as:

In the Keynesian model, the major determinant of consumption expenditures is

How would the Bureau of Labor Statistics count a person not working who refuses an offer of employment to keep looking for a better job?

The modern view of the Phillips curve suggests that

The ________ banking system permits banks to hold reserves of less than 100 percent of their deposits.

Independent of monetary expansion, the major empirical studies have failed to find a significant relationship between ________ and the rate of inflation.

In an economy, part of the unemployment is caused by the fact that qualified workers are not aware of available jobs that they can seek. This is exacerbated by the fact that many employers are unaware of qualified candidates who can fill job openings at their firms. This form of unemployment is known as ________.

Which of the following factors will most likely dampen the multiplier effect of an increase in government spending financed by borrowing?

The view that erratic monetary policy is the primary source of both business instability and inflation is most closely associated with which group of economists?

"Monetary instability has been the major cause of economic instability in this country. Expansion in the money supply has been the source of every major inflation. Every major recession has been either caused or perpetuated by monetary contraction." Who among the following would most likely adhere to this view?

The relationship in which an expansionary fiscal policy leads to a reduced private investment due to its effect on interest rates is known as ________.