S.Simms Econ Final

Which answer is NOT a stage of the business cycle?

• consolidation

• peak

• trough

• expansion

Calculate the CPI for the current year.

• 
  

  $177.75

• 
  

  $145.12

• 
  

  $168.92

• 
  

  $182.16

Which answer was NOT a weakness of the Articles of Confederation

• 
  

  Congress could not force states to pay taxes.

• 
  

  Congress had no power over tariffs or custom duties.

• 
  

  Each state had only one vote in the Congress

• Congress could not negotiate treaties with foreign countries.

Which answer is a characteristic of a market economic system?

• 
  

  power and influence of the consumer to direct the economy

• 
  

  normally, some form of a democratic government that limits its involvement in the economy

• 
  

  all of these

• 
  

  private ownership of resources, business, or property

_____ money must be accepted as such by law.

• 
  

  Fiat

• Gold and silver

• 
  

  Treasury

• 
  

  Trade

_____ student loans do not have to be repaid until after a student finishes attending college.

• Consumer

• Mortgage

• 
  

  Federal

• 
  

  Commercial

___ states that real GDP will decline 2% for every 1% increase in unemployment.

• The quality change effect

• 
  

  Okun’s Law

• The CPI

• The Phillips Curve

An example of ___ is increasing government spending.

• 
  

  property rights

• 
  

  expansionary fiscal policy

• 
  

  contractionary fiscal policy

• 
  

  a balanced budget

The ____ Industrial Average is an index tracking 30 of the most influential American companies.

• 
  

  Dow Jones

• 
  

  Standard & Poor's

• 
  

  Investor's Daily

• Barclay's

In the circular flow model, businesses send ___ to the government.

• 
  

  expenditures

• 
  

  goods and services

• 
  

  resources

• 
  

  taxes