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WorksheetsMacroeconomic objectives
Total questions: 10
Worksheet time: 5mins
Calculate GDP
2385
1570
1500
1550
Using T1 as the base year, Calculate CPI for T2.
Assume consumers spend 25% of their income on bananas and the rest on backrubs.
12.625
213
112.6
13.5
Which of the following is not a limitation of monetary policy
Banks may not have liquidity to pass on
Interest rates won't affect fixed rate loans
Consumers may respond to lower interest rates by saving more
The central bank is independent
Keynesians differ from classical theorists because they
believe wages are sticky
don't think consumers are rational
are short-sighted
believe in communist revolution
Economic growth
Always leads to improved standards of living
Means more resources are being used
Is the most important thing to an economy
Can be eroded by inflation
The Phillips curve shows that
workers always ask fro higher wages
there is a trade off between inflation and employment
rising inflation will always reduce unemployment
lower rates of inflation sometimes correlate with higher rates of unemployment
Which of the following is not a cause of inequality
Market based Supply Side Policies
Differences in education
Discrimination
Capitalism
Calculate the average tax rate for someone earning £60,000 in 2020
40%
32.1%
19.2%
24.9%
If MPS = 0.1, MPT = 0.2 and MPM = 0.3, calculate the Multiplier
1.5
1.66
2.66
2.5
Which of the following is not a supply side policy?
Privatisation
Anti-monopoly regulation
Cuts to Income Tax
Cuts to interest rates
