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gdpeco
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Preguntas del test (51)
1For classical economists, if desired saving exceeds desired investment, at the prevailing interest rate,
- Athose who want to loan funds will not find borrowers as the interest rate is too low.
- Bthose who want to loan funds will not find borrowers as the interest rate is too high.
- Cthose who want to borrow funds will not find loaners as the interest rate is too low.
- Dthose who want to borrow funds will not find loaners as the interest rate is too high.
- Ethose who want to loan funds are able to find borrowers.
2For classical economists, if desired saving exceeds desired investment,
- Athe interest rate will fall,increasing saving and reducing investment.
- Bthe interest rate will rise, increasing saving and reducing investment.
- Cthe interest rate will fall, decreasing saving and increasing investment.
- Dthe interest rate will rise, decreasing saving and increasing investment.
- Ethe interest rate will remain the same.
3For classical economists, if desired saving is less than desired investment,
- Athe interest rate will fall,increasing saving and reducing investment.
- Bthe interest rate will rise, increasing saving and reducing investment.
- Ctheinterestratewillfall,decreasingsavingandincreasinginvestment.
- Dthe interest rate will rise, decreasing saving and increasing investment.
- Ethe interest rate will remain the same.
4For classical economists, unemployment was caused by
- Awages that were too high.
- Bunions that caused an increase in wages.
- Cwages that were too low.
- Dwages that were tied to price increases.
- ENone of the above caused unemployment according to classical economists.
5Money illusion means that
- Aconsumers can be fooled into believing that nominal wage increases don’t affect their spending.
- Bconsumers can be fooled into believing that nominal wage increases affect their spending.
- Cbusinesseswillnotreacttochangesinpricesandwages.
- Dthe government will cause prices and wages to change.
- ENoneoftheabove.
6Money illusion means that
- Aeconomic agents will not react to changes in nominal wages and prices.
- Beconomic agents believe changes in nominal prices and wages are changes in real prices and wages.
- Ceconomic agents believe changes in nominal prices are changes in real prices but do not affect wages.
- Deconomic agents believe changes in nominal wages are changes in real wages but do not affect prices.
- ENoneoftheabove.
7Money illusion means that
- Aeconomic agents willl not change production decisions due to changes in nominal wages and prices.
- Beconomic agents will not change production decisions due to changes in real prices and wages.
- Ceconomic agents will change production due to changes in nominal prices and wages,though they are not “fooled” into believing that the changes affect real prices and wages.
- Deconomic agents will not change production due to changes in nominal prices and wages, because they are not “fooled” into believing that the changes affect real prices and wages.
- Eeconomic agents will change production due to changes in nominal prices and wages,because they are “fooled” into believing that the changes are changes in real prices and wages.
8The classical aggregate supply curve is vertical because it assumes
- Athe money supply is neutral.
- Ban increase in the money supply increases prices
- Cno money illusion.
- Dwages are affected by unions.
- ENoneoftheabove.
9The aggregate demand curve holds constant all of the following except
- Athe money supply.
- Btax rates.
- Cthe price level.
- Dreal government spending.
- Einvestment demand.
10Economists offer three explanations for a downward-sloping aggregate demand curve. Which of the
following correctly describes one of these explanations?- AA rising price level raises the purchasing power off consumer assets and increases desired consumption at each income level.
- BArisingpricelevelraisesnominalinterestratesandincreasesinvestmentspendingateachlevelof income.
- CA falling domestic price level, holding foreign prices and dollar exchange rates constant, raises net exports at each income level.
- DA rising price level lowers nominal interest rates and increases investment spending at each level of income.
- EA rising foreign price level,lowers the relative domestic price level,holdingdollarexchange rates constant at each level of income.
11Economists offer three explanations for a downward-sloping aggregate demand curve. Which of the following correctly describes one of these explanations?
- AA rising price level raises nominal interest rates and reduces investments pending at each level of income.
- BA rising domestic price level,holding foreign price sand dollar exchange rates constant,raises net exports at each income level.
- CA falling domestic price level,holdingforeignpricesanddollarexchangeratesconstant,lowers net exports at each income level.
- DA falling price level lowers the purchasing power of consumer assets and decreases desired consumption at each level.
- EArisingforeignpricelevel,lowerstherelativedomesticpricelevel,holdingdollarexchange rates constant at each level of income.
12Which of the following is a correct definition of the aggregate supply curve? The aggregate supply curve shows
- Athe aggregate supply of labor throughout the economy
- Bthe relationship between aggregate purchases and the price level.
- Cthe amount of real GDP produced by firms at different price levels.
- Dthe effect of real wages on total economic output.
- Ethe amount of labor supplied at various price levels.
13The aggregate demand curve shows
- Athe relationship between real income and real wages.
- Bthe aggregate (real) output that people are willing to purchase at different price levels.
- Cthe relationship between price level expectations and aggregate consumption.
- Dthe aggregate (real) consumption at different price levels.
- Etheaggregate(real)incomethatpeoplearewillingtouseateachrealwage.
14The natural rate of unemployment is best defined as
- Athe rate of unemployment for which the labor market is in balance.
- Bone for which the labor force grows at a constant rate.
- Ctherateofunemploymentthatmatchesthelong-runrateofeconomicgrowth.
- Da rate of unemployment equal to 6%.
- Ethe unemployment rate consistent with constant real wages.
15A positively sloped short-run aggregate supply curve is based on the premise that
- Aa rising price level will induce businesses to increase production.
- Bdifferent sectors of the economy expand at different rates.
- Cwages and prices do not rise at the same rate through out the economy.
- Dmore output will be produced if investment in the economy exceeds savings.
- Eprices and wages throughout the economy are perfectly flexible.
16If wages and prices are somewhat inflexible, an adverse supply shock will
- AnotaffectrealGDPorunemploymentbutwillincreasethepricelevel.
- Bdecrease real GDP and unemployment and will reduce the price level.
- Cdecrease real GDP,raise unemployment and increase the price level.
- Dnot affect real GDP, unemployment or the price level.
- Edecrease real GDP,raise unemployment and reduce the price level.
17Macroeconomists believe that the aggregate demand curve is negatively sloped. One explanation for
this relationship is that- Aa rising price level increases the value of the money balances,thus inducing consumers to purchase more.
- Binterest rates and investment spending are inversely related.
- Ca declining price level increases interest rates,and increases investment spending by businesses.
- Dan increase in the domestic price level, relative to foreign prices, will reduce exports.
- Ea falling price level increases the value of real money balances,thus consumers will purchase less goods and services.
18The short-run production function exhibits
- Aan inverse relationship between total output and labor demand.
- Bdiminishing returns to labor, given a fixed capital stock and technology.
- Cthe short-run fluctuation in output around the economy’slong-rungrowth.
- Dthe relationship between real wages and labor supply.
- ENoneoftheabove.
19The short-run aggregate supply curve can be upward-sloping because
- Athere are no factors held constant.
- Ba higher price level motivates people to stock up on goods.
- Ca higher price level can raise interest rates.
- Dinflation makes people poorer, and they must work harder.
- Eof inflexible money wages.
20Assuming some wage stickiness in the short run, if the aggregate demand curve shifts to the right
- Aboth the price level(P) and real GDP increase.
- BP rises, but real GDP remains the same.
- CbothPandrealGDPfall.
- Dthe AS curve also shifts to the right.
- EP falls and real GDP rises.
21Which of the following is correct? The natural level of real GDP
- Ais the level prevailing when unemployment is zero.
- Bis that level toward which equates the supply and demand for labor.
- Cis a level of GDP that cannot be sustained indefinitely without increasing the rate of inflation.
- Ddepends on the price level.
- ENoneoftheabove.
22The natural rate of unemployment prevails when
- Aagricultural unemployment equals manufacturing unemployment.
- Bthe AD curve intersects the SRAS curve.
- Cunemploymentisminimized.
- Dthe number of available jobs is matched by the number of unemployed workers.
- Eunemploymentiszero.
23If wages and prices are flexible, an adverse demand shock will
- Anot affect real GDP for unemployment but will reduce the prices evel.
- Bdecrease real GDP, raise unemployment and reduce the price level.
- CdecreaserealGDP,raiseunemploymentandleavethepricelevelunchanged.
- Dnot affect real GDP, unemployment or the price level.
- EdecreaserealGDP,raiseunemploymentandincreasethepricelevel.
24From a macroeconomic perspective, business decisions to hire more labor are determined by
- Anomina lwages.
- Bthe price level.
- Creal wages.
- Dnominal interest rates.
- Ereal interest rates.
25Economists disagree about
- Awhether demand shocks or supplies shocks are the cause of business cycles.
- Bthe long-run rate of economic growth.
- Cwhethersupplyanddemandshocksmatterinthelongrun.
- Dthe factors affecting aggregate demand.
- Eeverything.
26The short-run production function shows the relationship between
- Asavings and investment.
- Binterest rates and investment demand.
- Creal and nominal interest rates.
- Dlabor supply and labor demand.
- Ethe economy’ s output and employment.
27According to classical economics, the aggregate supply curve is
- Adetermined by real wages
- Bfixed regardless of the price level.
- Ca function of consumption and investment.
- Dupward-sloping, that is, a reduced price level reduces real GDP.
- Ea function of interest rates.
28Which of the following is correct?
- AEconomists generally agreed that the natural rate o unemployment for the U.S.economy is about 4%.
- BEconomists agree about the causes of business cycles.
- CThere is evidence that the self-correcting mechanism works.
- DThe Great Depression disproved the self-correcting mechanism.
- EEconomists believe that empirical estimates of the natural rate of unemployment are not possible.
29The short-run aggregate supply curve is upward-sloping because
- Aa lower price level increases real money balances.
- Blower taxes motivate people to work more.
- Cwage contracts keep money wages fixed.
- Dmore money motivates people to spend more.
- Emost business firms operate with long-terms contracts for output but not input.
30When Professor Friedman says that neither he nor his fellow economists know what the natural rate
of unemployment is, the underlying message is that- Amacroeconomic data is generally of modest to poor quality.
- Beven sophisticated models of the economy are not very good at short-run forecasting.
- Ceconomists are fundamentally ignorant about forces driving the economy.
- Dforecasting is as much an art as it is a science.
- Ethe natural rate of unemployment can change from one decade to the next
31Which of the following is one explanation for a negatively-sloped aggregate demand curve?
- AThe interest-rateeffect.
- BThe foreign-trade effect.
- CThe real balance effect.
- DAll of the above.
32The natural rate of unemployment can be defined as a rate of unemployment
- Aequalto5.5%.
- Bthat results in constant real GDP growth over time.
- Cequal to the growth rate of investment.
- Dfor which the number of available jobs is equal to the number of unemployed workers.
- Ethat eliminates the business cycle.
33 Which of the following would increase aggregate demand?
- AA decrease in the price level.
- BA decrease in government spending.
- CAn increase in the money supply.
- DA decrease in investment spending.
- EAn increase in real output.
34In the short-run, the relationship between total output and the price level (the aggregate supply curve)
- Ais always positive a higher price level reduces more real output.
- Bis a function of aggregate labor supply.
- Cdepends on investment and thus interestrates.
- Dis determined by the long-run rate of economic growth.
- Edepends on whether wages and prices are sticky or flexible.
35 According to data from the 1960s, 1980s and 1990s, the nonaccelerating-inflation unemployment rate
- Ahas increased from aboutt 5% in the 1960s to about 7%in the1990s.
- Bis determined by the magnitude of positive demand shocks.
- Cisapproximately6%inallthreedecades.
- Dcannot be explained by macroeconomic theory.
- Efluctuates from decade to decade.
36Classical macroeconomics has different implications for the effects of demand and supply shocks. For classical macroeconomics, a demand shock
- Aaffects inflation only where a supply shocks affect in flatten and real output.
- Baffects interest rates and real output whereas a supply shock affects only real output.
- Caffects inflation and real output where as supplies shocks affect inflation only.
- Daffects inflation only whereas supply shocks affect real output only.
- Eaffectsinterestrates,where as a supply shock affect sonly real output.
37A supply shock that shifts the aggregate supply curve up and leftward
- Araises the price level and real GDP.
- Braises the price level and lowers unemployment.
- Craises the price level and lowers real GDP.
- Dlowers the price level and raises real GDP.
- Elowers the price level and lowers real GDP.
38Which of the following would increase aggregate demand at all levels?
- AA decrease in tax rates.
- BAn increase in consumers’ saving rates.
- CAn increase in government spending.
- DA decrease in the money supply.
- EAn increase in the price level.
39If wages and prices are somewhat inflexible, a positive demand shock would
- Alower the price level and reduce real GDP.
- Blower the price level and raise real GDP.
- Cincrease the price level, and raise the real GDP.
- Dincrease the price level, and lower real GDP.
- ENoneoftheabove.
40Suppose that an adverse demand shock occurs. If the self-correcting mechanism is given time to
function, the end result of the changes in aggregate supply and demand will be to- Aincrease real GDP without affecting the price level.
- Breduce real GDP and the price level.
- Crestore equilibrium at the natural price level.
- Drestore equilibrium at the natural level of real GDP.
- Eincrease real GDP and restore the economy to the long run rate of economic growth.
41Evidence supporting the classical and Keynesian views of the macroeconomy is mixed. Those economists who doubt the classical viewpoint would point to
- Athe long run trend of high unemployment rates in the nineteenthcentury( 1800–1900).
- Bthe various shocks to the nineteenth century economy, such as wars, the railroads and gold discovery in California.
- Cthe trend of high run employment rates since WWII.
- Dthe substantial fluctuations in the price level in Germany, England, and France during the nineteenth century.
- Ethe model’s apparent in ability to explain the Great Depression.
42In the classical view, the source of supply shocks was thought to be
- Atrade wars.
- Bill-timed government policy.
- Cstockmarketbuyers.
- Dthe labor market.
- Eadvances in technology and increases in productivity.
43Evidence supporting the classical model of macroeconomics includes
- Athe Bernanke and Parkinson study showing that the self-correcting mechanism had little to do with recovery from the Great Depression.
- Bthe increase in fixed contracts as unionism became more important in the early twentieth century.
- Crising real interest rates in the United States since WWII.
- Dthe lack of a strong trend in the price level of industrialized countries in the nineteenth century.
- EKeynes’remarkthat“Inthelong-runwearealldead.”
44Which of the following best describes a major difference between classical economists and Keynes?
- AThe classics thought recessions would be self-correcting; Keynes thought the self-correcting mechanism worked slowly.
- BThe classics thought that savings depended on income; Keynes thought savings depended not he nominal rate of interest.
- CTheclassicsthoughtthatwageswereinflexibledownward;Keynesthoughtthatunemployment would be eliminated by falling wages.
- DThe classics thought savings equaled actual investment; Keynes thought desired savings equaled desired investment.
- ENoneoftheabove.
45In the Keynesian view, demand shocks are the most likely cause of business cycles because
- Asavings was determined by changes in personal income, rather than interest rates.
- Btechnology does not usually change rapidly and annual productivity growth is low.
- Cthere are far more possible causes for demand shocks than for supply shocks.
- Dthe self-correcting mechanism does little to offset an adverse demand shock whereas it can correct an adverse supply shock.
- Esupply shocks are an unlikely cause of the large decline in output during the first four years of the Great Depression.
46In a famous quote, Keynes declared, “In the long run, we are all dead.” What Keynes meant by this quote is that
- Athe classical economist were right-in the long run,interest rates would equilibrate savings and investment.
- Bthe self-correcting mechanism of the economy works slowly.
- Chigh rates of unemployment could not occur for an extended period of time.
- Dthe Great Depression was a long-run phenomenon that was unlikely to repeat itself.
- EKeynes expected to die, but the though this macroeconomic theories would out live him.
47According to Keynes, wages and prices
- Aare“sticky”, and therefore,cause slow macroeconomic adjustments.
- Bwould adjust until the natural rate of unemployment is reached.
- Cwere too low for equilibrium.
- Dwould equate savings and investments.
- Etended to bed reeky-adjusting in the economy.
48If you believe in classical macroeconomics, then you would expect _____ during a cyclical downturn.
- Arising real GDP, falling prices,and rising real wages
- Bfalling real GDP, falling prices, and rising real wages
- Crising real GDP,rising prices,and falling real wages
- Dfalling real GDP, rising prices, and falling real wages
- Efalling real GDP, rising prices, and rising real wages
49 If you believe in Keynesian macroeconomics, then you would expect _____ during a cyclical
upturn.- Arising real GDP,falling prices,and rising real wages
- Bfalling real GDP, falling prices, and rising real wages
- Crising real GDP, rising prices ,and falling real wages
- Dfalling real GDP, rising prices, and falling real wages
50The most important difference between the long-run aggregate supply curve and the short-run aggregate supply curve is
- Athat labor supply determines long-run aggregate supply where short-runaggregate supply is a function of investment spending.
- Bthe influence of the aggregate production function in the long-run and role of the price level in short-run aggregate supply.
- Cthat long-run aggregate supply is determined by interest rates and short-run aggregate supply is a function of the price level.
- Dwages and prices are fully flexible in the long-run whereas the short-run aggregate supply curve exhibits some wage and price rigidities.
- Ewages and prices are fully flexible in theshort-run where as the long-run aggregate supply curve exhibits some wage and price rigidities.
51Three explanations for a downward-sloped aggregate demand curve are listed below. Which of the following correctly summarizes one of these explanations?
- AAs the price level rises,consumption increases.
- BAs the price level falls, net exports decline.
- CAs the price level rises, unintended investment decreases.
- DAs the price level falls, net exports increase.
- EAs the price level rises, real money balances rise.
Información
- Descripción
- Test sobre gdpeco, creado por Juan Encarnocion el 02/11/2015.
- Autor
- Juan Encarnocion
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- English
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