Trang chủ 10. Test - Economics - No 6

"A general overproduction of goods relative to demand is impossible since supply creates its own demand." This is associated with:

The Central Bank increases the money supply by 1%. This was widely anticipated by economic participants. The economy is operating below potential. In the short-run, this will cause the aggregate supply curve to ________, the aggregate demand curve to ________, and the price level to ________.

In contrast to nominal GDP, real GDP refers to nominal GDP

The yen-crisis in Japan has lead to a significant recession in the country. Many of the firms have experienced big losses or falling profit rates. In an effort to combat this, firms have laid off a sizable population of their workforce. This increase in the nation's unemployment is known as:

When an economy dips into a recession, which of the following occur(s)? I. Unemployment compensation increases, increasing the budget deficit. II. Corporate taxes increase, causing a decrease in profits. III. The government's tax revenues decrease, increasing the budget deficit. IV. Interest rates automatically fall to increase private investment and pull the economy out of the recession.

Demand deposits are

The net result of persistent monetary growth will be sustained ________.

A wealthy stamp collector recently sold a rare stamp for $80,000 that he purchased two years earlier for only $10,000. What impact will this transaction have on GDP?

"Consumption of a household is largely determined by its long-run expected income." This is associated with:

A program which increases the budget deficit during recessions and decreases it during economic booms on its own is known as:

Which of the following will lead to a reduction in aggregate demand in the U.S. ?

If aggregate output is at the full-employment level and the government budget is balanced. Within the Keynesian model, a reduction in planned investment would probably lead to

Cyclical unemployment is primarily caused by

A medium of exchange, an accounting unit and a store of value is the definition of ________.

Analysis of the modern expectational Phillips curve indicates that if people

In the Keynesian aggregate expenditure model, the central catalyst that leads to change in output and employment is change in

The marginal propensity to consume is defined as the

If the government issues bonds to finance its increased spending, which of the following is/are likely to occur: I. Real interest rates will fall. II. Inflation will rise. III. Private investment will be crowded out. IV. Foreign funds will flow in.

Structural unemployment is a result of

Which of the following will most likely occur as the result of an unanticipated increase in aggregate demand?