Trang chủ 8. Test - Economics - No 4

If the government moves the entire tax schedule upward by 5%, the primary effect on the economy will be through:

An economy is currently experiencing high inflation. A Keynesian would suggest which of the following to combat this: I. Increasing interest rates. II. Increasing tax rates. III. Decreasing government expenditure. IV. Raising reserve requirements.

According to monetarists, ________ is a primary source of economic instability:

"Decision makers systematically err in their forecasts of economic variables." This is implied by which of the following:

Within the simple Keynesian model, when an economy operates below its long-run, full-employment output constraint, an increase in aggregate demand will lead to an

. An economic researcher publishes evidence that the consensus inflation estimation for the following year has no correlation with the actual inflation level the year before. The estimation error is often very large, but does not display a pattern. Which of the following theories would this evidence support?

During an economic boom, the AD-AS model indicates that

An economy is currently operating at full employment. If the Fed unexpectedly decreases the reserve requirement, in the short run, the aggregate output will ________. The unemployment will ________ the natural rate.

The population of Tunisia is 100 million; 5 million are unemployed and 90 million hold jobs. The employment rate in Tunisia is

When individuals are unemployed because they lack the qualifications to fill available jobs, we call this a form of

An expansionary fiscal policy causes which of the following effects? I. The domestic currency depreciates. II. Exports decrease. III. Real interest rates increase. IV. Capital flows in from abroad.

The Keynesian model indicates that when individuals plan to save more (and spend less), the result may be a(n)


Population 50 million
Number in the labor force 30 million
Number employed full time 20 million
Number employed part time 8 million
Number unemployed 2 million

What is the unemployment rate of the economy?

Which of the following about the multiplier is false?

In Keynesian view, the best macroeconomic policy is to:

If the Fed introduces an expansionary monetary policy: I. Real interest rates fall. II. The U.S. dollar appreciates. III. The U.S. exports increase relative to imports.

The nation of Myopia is having a massive inflation problem. To stabilize prices, the Myopian Central Bank decides to acquire large numbers of Capitalian Dollars (a very stable currency) and offer to exchange five Myopian Pesos for one Capitalian Dollar on demand. How does this impact the monetary base and the effective money supply for the nation of Capitalia?

Which one of the following will most likely cause a future increase in the growth rate of real output?

Within the AD/AS model, an unanticipated increase in short-run aggregate supply will cause real output to

Within the Keynesian model, if an economy operates below full employment,