Trang chủ 21. Test - Economics - No 17





Which of the following is NOT an automatic stabilizer?

According to classical economists, which of the following is/are true?
I. The real GDP is not affected by money supply.
II. The velocity of money is not affected by money supply.
III. Prices are not affected by money supply.



Inflation has been about 5% for the last several years. Many economists have recently been arguing that consumers may soon begin saving more and spending less.
If inflation were actually 4% next year, and this causes a small increase in real GDP, which of the following must have been true? 
I. producers generally were forming inflation forecasts based on the rational expectations theory
II. there were slack resources in the economy
III. the Central Bank increased the money supply



When an expansionary demand-stimulus policy is unanticipated, profit margins will ________ and employment will ________ in the short run.

"Recession" in an economy is characterized by which of the following?
I. Falling sales.
II. Fall in the level of real GDP.
III. Increased unemployment.III. Increased unemployment.
IV. Prolonged and severe economic hardship.



If people decide to hold more money as currency and less as checking deposits, this will most likely cause a(n)

Which of the following is an integral part of the Keynesian view of the business cycle?

During a period of rapid growth in output

Net domestic product equals gross domestic product

Congress passes a law that requires government spending rise each year by exactly the inflation rate. The year the law was passed the budget was balanced, inflation was moderate, and unemployment was at the natural rate.
If national income declines, which of the following will probably be true?
I. the government's percentage of GDP will increase
II. tax receipts will decline
III. government debt will increase



The nation is currently in recession. During a presidential election, one candidate proposes that the recession is being caused by wasteful government spending. The candidate proposes a proportional decrease in spending and taxes.
Using a fiscal policy framework, how would this proposal effect the economy?

Which of the following groups of people will most likely benefit from a period of unanticipated inflation, assuming the composition of their assets and liabilities remains unchanged?

Which of the following would cause the U.S. money supply to expand?

An economy experiencing substantial inflation, high unemployment and slow (or negative) output growth is said to be in a period of

According to the permanent income hypothesis, consumption by a family depends primarily on the family's

Which of the following assets is most liquid?

Over the last 5 years, inflation rates have been 4%, 11%, 16%, 6%, and 9%. If the real interest rate for the average 30-year, fixed-rate home loan is 5%, what should nominal fixed-rate should a lender charge on the average 30-year home loan?

A business spends $10 million on new capital equipment and during the same year $3 million of its existing capital wears out. Which of the following is correct?

The expenditure multiplier is defined as the ratio of:

Which of the following will most likely increase the natural unemployment?