wayground logo

Free Printable Worksheets

Font size

S
M
L
XL
Worksheets

micro and macro economics - S3

Total questions: 30

Worksheet time: 17mins

Name
Class
Date
1.

focuses on smaller factors that affect choices made by individuals and companies

a)

Positive Economics

b)

Micro Economics

c)

Macro Economics

d)

Normative Economics

2.

studies how an overall economy—the market systems that operate on a large scale—behaves

a)

Normative Economics

b)

Positive Economics

c)

Micro Economics

d)

Macro Economics

3.

They buy resources and sell products

a)

Households

b)

Businesses

c)

Product Market

d)

Resource market

4.

In a resource market, _______ supply while______ demand.

a)

businesses ; households

b)

businesses;businesses

c)

households; households

d)

households;businesses

5.

In a product market, businesses _____ while households _______.

a)

buy; sell

b)

buy; demand

c)

supply; demand

d)

supply; sell

6.

The price to be paid for the use of land

a)

interest

b)

rent

c)

salary

d)

wage

7.

The price to be paid for the use of labor

a)

Rent

b)

Wage

c)

Salary

d)

Interest

8.

The price to be paid for the use of capital

a)

Wage

b)

Salary

c)

Rent

d)

Interest

9.

The price to be paid for the use of entrepreneurial skills

a)

Salary

b)

Interest

c)

Wage

d)

Rent

10.

A period of high economic activity and high employment is:

a)

A recovery

b)

A recession

c)

A boom

d)

A slowdown

11.

Unemployment occurs when

a)

Someone wants a job but can't find work

b)

Someone is able and willing to work but can't find a job

c)

Someone is able to work but does not have employment

d)

Work provided is not sufficient to meet the needs of workers

12.

The rate of unemployment is

a)

How many people are not in work / Total Population x 100

b)

Total Unemployed/Total population x 100

c)

Total unemployed/Workforce x 100

d)

Total unemployed/ (total employed + total unemployed) x 100

13.

Who is responsible for making fiscal policy decision? 

a)
The President and Congress
b)
The Federal Reserve System
c)
The National Council of Economic Advisors
d)

The Department of Commerce

14.

The federal government's overall approach to spending and taxes is called

a)

Physical Policy

b)

Fiscal Policy

c)

The Federal Reserve

d)

Monetary Policy

15.

Monetary policy decisions are made by:

a)

Congress

b)

Senate

c)

The Fed

d)

President

16.

Taxing and Spending are tools of

a)

fiscal policy

b)

monetary policy

17.

What can the government do to slow the economy in order to reduce inflation?

a)

lower taxes

b)

raise taxes

c)

spend more

18.

To help the economy grow, the government can

a)

increase spending

b)

decrease spending

c)

lower the minimum wage

d)

raise taxes

19.

The action by the FED to adjust the size of the money supply, and to adjust interest rates in order to keep prices down and employment high.

a)

fiscal policy

b)

monetary policy

20.

In order to help the economy grow, the FED may____________the reserve requirement, allowing banks to loan more people money so that they spend more

a)

lower

b)

raise

c)

spend more

d)

save more

21.

In order to slow the economy, the FED may____________ the reserve requirements and there will be less money to loan out to people.

a)

increase

b)

decrease

c)

spend more

d)

tax more

22.

The amount that all banks have to keep in the reserve and they can't loan out to people

a)

monetary lending

b)

fiscal spending

c)

reserve requirement

d)

lending policy

23.

The interest rate the FED charges banks to borrow money will be lowered to help the economy grow and raised to slow the economy

a)

reserve requirement

b)

discount rate

c)

bank rate

d)

monetary bank

24.
The manipulation of the money supply in order to influence the cost and the availability of credit is 
a)
Banking Policy
b)
Fiscal Policy
c)
Monetary Policy
d)
Spending Policy
25.
If the Federal Reserve System wanted to stimulate the U.S. economy and reduce unemployment, it would
a)
A. cause interest rates to decrease because low interest rates encourage businessgrowth and expansion
b)
B. cause interest rates to rise because high interest rates encourage business growthand expansion
c)
C. increase the discount rate it charges banks, which would increase the money supply
d)
D. increase consumer spending by reducing the money supply
26.
Which of the following is not a tool of fiscal policy?
a)
Taxing
b)
Spending
c)
Interest Rates
d)
All of these options are tools of fiscal policy.
27.
When the government raises taxes, what does it take out of circulation?
a)
Money
b)
Credit
c)
People
d)
Jobs
28.
True or False-- the Federal Reserve helps with fiscal policy
a)
True
b)
False
29.

Fiscal policy deals with what?

a)

How government regulates the amount of money in circulation

b)

Government expenditures in excess of government revenues.

c)

A general, sustained upward movement of prices for goods and services in an economy.

d)

Raising taxes and using the money that's raised

30.

Whose job is it to control the money supply?

a)

The Executive Branch of Government

b)

The Legislative Branch of Government

c)

Federal Reserves

d)

President