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WorksheetsMacroeconomics - Introduction
Total questions: 20
Worksheet time: 10mins
A merchant has appointed telemarketers to target senior citizens into buying products and services through false claims. What kind of unfair trade practice is this?
Misrepresenting a Product
Faking Endorsements and Guarantees
Giving Misleading Price Information
Taking Advantage of Customers
To curb monopolistic competition, the first act that the Indian government passed was
CCI,
MRTP Act,
Consumer Protection Act,
Competition Act
Printing money and distributing it to all people is not a viable solution to heal world-wide poverty because…
It would result in unemployment
We cannot afford to print that much money
Money will be spent on imported goods
It would result in inflation
The largest component of the gross domestic product (GDP) is...
Consumer expenditures
Export to other countries
Business expenditures
Government expenditures
The exchange rate between the domestic and a foreign currency is determined by…
The monetary strengths of countries involved
The political regime of the countries involved
The relative tax rate in those countries
The law of supply and demand
All of the following will likely trigger increases in output except:
Increase in labor force
Increase in labor productivity
Increase in consumer spending
Increase in Interest rates
Comparisons of per capita gross domestic product between countries ______.
Provide a good measure of relative living standards
Is a useless task because each country uses a different method of calculating
Provide information about productive capabilities, not relative standards of living
Provide an accurate gauge of absolute standards of living
A pair of shoes that costs $80 last month costs $100 this month. Which of the following BEST describes this economic condition?
Inflation
Recession
1. An example of expansionary fiscal policy would be
cutting taxes.
cutting government spending.
cutting production of consumer goods.
cutting prices of consumer goods.
The use of taxes and government spending to affect the economy
Monetary Policy
Fiscal Policy
Contractionary Policy
Expansionary Policy
A plan to reduce aggregate demand and slow the economy?
Contractionary Fiscal Policy
Expansionary Fiscal Policy
Contractionary Monetary Policy
Expansionary Monetary Policy
Refers to government revenue, spending, and debt
Fiscal
Fractional Reserve Banking
Fiscal
Legal Reserves
Reserve system
Government cutting taxes is an example of ....
Fiscal Policy
Monetary Policy
During a recession, which of the following is likely to occur?
an increase in production
an increase in real wages
an increase in the GDP growth rate
an increase in the unemployment rate
If the federal government is attempting to encourage spending by consumers and businesses, a fiscal policy BEST serving this purpose would be
decreasing taxes..
decreasing government spending.
reducing the investment tax credit
balancing the budget.
A budget deficit occurs when...
The government brings in more revenue than it spends for a given year
The government spends more money than it brings in for a fiscal year
The expansion or contraction of the money supply in order to influence the cost and the availability of credit is
Monetary Policy
Fiscal Policy
Contractionary Policy
Expansionary Policy
Fiscal Policy is the means by which the government keeps the economy stable through taxes and expenditures.
True
False
What are the four main parts of the circular flow diagram?
Product Market, Stock Market, Factor Market, Fish Market
Product Market, House Market, Factor Market, Good Market
Factor Market, Product Market, Households, Firms
Factor Market, households, Stock Market, super market
A Japanese car company makes a new sedan in its Sriperumbudur plant, Chennai. Which country's GDP is this added to?
India
US
Japan
Both India and Japan
