Macro Review

Front

Which of the following is NOT a phase of the business cycle? Expansion, Recession, Inflation, Peak

Back

Inflation

Front

What does CPI stand for in economic terms?

Back

Consumer Price Index

Front

Which phase of the business cycle is characterized by increasing economic activity and employment?

Back

Expansion

Front

How does Keynesian economics view government intervention in the economy?

Back

It is necessary to stabilize the economy

Front

According to Milton Friedman, what is the primary cause of inflation?

Back

Increase in money supply

Front

Which of the following is a key difference between Keynesian and Classical economics? Role of government intervention, Importance of technology, Focus on long-term growth, Emphasis on supply-side factors

Back

Role of government intervention

Front

Which phase of the business cycle is characterized by a decline in economic activity?

Back

Recession

Front

What is the primary focus of Monetarism as proposed by Milton Friedman?

Back

Monetary policy

Front

What term is a tax that takes a larger share of income as income increases? A progressive income tax applies a higher tax rate to high incomes than to low incomes.

Back

Progressive tax

Front

What tax is a major source of revenue for local governments, is based on assessed value of real property (land/buildings), is often used to fund public schools which can lead to funding disparities between communities?

Back

Property tax