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WorksheetsMACROECONOMIC
Total questions: 15
Worksheet time: 5mins
1. Which of these options is not a role of government?
Producer
Consumer
Lawmaker
Tax payer
2. What is Macroeconomics?
the economy as a whole
The part of economics concerned with single factors and the effects of individual decisions
The study of how a national economy works
The analysis of the behavior of individual consumers and producers
3. Which of these options is a macroeconomic objective?
Economic growth
A high and stable level of employment
Equitable distribution of income and wealth
All three
4. If a government can achieve their aims
It will create a favorable economic climate for business and improve people’s standard of living
The level of employment will decrease
People’s standard of living will deteriorate
People's standard of living will stagnate
5. How do governments want to achieve their aims?
By exploiting people
By maximizing the exploitation of natural resources
In satisfying big companies requests
In an environmentally sustainable manner
6. Expansionary policy is used to boost economic activity. Which of these propositions is not an expansionary policy tool?
Decreasing interest rates
Increasing interest rates
Increasing government spendings
7. Expansionary policy will often be used, except
During recession
During rising inflation
During an economic downturn
8. Supply-side policies:
Aim to maximizing the exploitation of natural resources
Aim to boost the productive potential of the economy and increase aggregate supply
Aim to slow down the economy during rising inflation
Aim to unbalance the trade balance
9. When implementing supply-side policies, the government uses a range of tools to increase the quantity and quality of resources in the economy such as:
Subsidies
Competition policy
Tax incentives
All three
10. Contractionary policy is used to slow economic activity. Which of these propositions is not a contractionary policy?
Decreasing interest rates
Increasing interest rates
Decreasing government spendings
11. Contractionary policy will often be used:
During recession
During rising inflation
During an economic downturn
During an overheating economy
12. Expansionary policy is used to boost economic activity by:
Decreasing interest rates
Increasing interest rates
Decreasing government spendings
Increasing government spendings
13. The definition of inflation
Sustained fall in the general price level.
The rise in the general level of prices
14. Fiscal policy is
The total demand for goods and services in the economy
Policies that control the supply of money, the price of money, and the availability of credit.
Use of government spending and revenue collection measures to influence the economy.
When a nation's total output of goods and services increases over time
15. Factors of production
Goods and services
Technology
Entrepreneurship
All three
