UNIT 3 Quiz "Macroeconomic" 1

The aim of the study of macroeconomics is to examine

• the interactions between individual producers and consumers.
• the behavior of factors affecting the economy.
• the relationship between supply and demand.
• the economy’s viability.

Which body or group is most able to use money to influence the economy?

• government
• suppliers
• firms
• producers

In microeconomics, what occurs when equilibrium is reached?

• Prices decline.
• Prices increase.
• Prices are set.
• Prices fluctuate.

The aggregate is

• a type of economic system.
• the total number of goods demanded or supplied.
• a form of revenue.
• the total profit made on sales.

Economic growth takes place when a country

• produces a steady number of automobiles.
• has a high unemployment rate.
• measures its gross domestic product (GDP).
• produces more goods and services.

An increase in gross domestic product (GDP) is a sign that a country’s economy is

• declining.
• stagnant.
• growing.
• depressed.

What conclusion can someone draw from the map?

• States with the highest per capita GDP tend to be in the South.
• Alaska has the lowest per capita GDP of any state.
• States with the lowest per capita GDP tend to be in the South.
• Florida has a higher per capita GDP than New York.

Which unemployment rate do most economists consider to be acceptable in the United States?

• 0 percent
• 5 percent
• 10 percent
• 20 percent

Which stage of the business cycle is an economy in when it reaches its low point?

• Expansion
• Peak
• Contraction
• Trough

Which of the following is a characteristic of prosperity in the peak phase of the business cycle?

• stagnant prices
• high levels of production
• ambivalence about the economy
• reduced incomes