Question 1

The United States is a "debtor nation." What does this mean?

Accepted Answer

A)  The nation has a whole owes more money to foreign countries than foreign countries owe to the United States. 
B)  The U.S. government owes more money to foreign governments than foreign governments owe to the U.S. government. 
C)  Individual households in the United States owe more money to households in foreign countries than households in foreign countries owe to U.S. households. 
D)  U.S. businesses owe more money to foreign businesses than foreign businesses owe to U.S. businesses. 
A)  The nation has a whole owes more money to foreign countries than foreign countries owe to the United States. 
B)  The U.S. government owes more money to foreign governments than foreign governments owe to the U.S. government. 
C)  Individual households in the United States owe more money to households in foreign countries than households in foreign countries owe to U.S. households. 
D)  U.S. businesses owe more money to foreign businesses than foreign businesses owe to U.S. businesses. A

Question 2

How does the level of imports change over the business cycle?

Accepted Answer

A)  Imports tend to fall during expansions and rise during contractions. 
B)  Imports tend to rise during expansions and fall during contractions. 
C)  Remain fairly constant over the business cycle. 
D)  Imports tend to fall during expansions and remain flat during a contraction. 
A)  Imports tend to fall during expansions and rise during contractions. 
B)  Imports tend to rise during expansions and fall during contractions. 
C)  Remain fairly constant over the business cycle. 
D)  Imports tend to fall during expansions and remain flat during a contraction. B

Question 3

For the past 30 years or so, the United States has

Accepted Answer

A)  imported more goods and services than it exported. 
B)  exported more goods and services than it imported. 
C)  exported and imported approximately the same amount of goods and services. 
D)  imported more than exports only during recessions. 
A)  imported more goods and services than it exported. 
B)  exported more goods and services than it imported. 
C)  exported and imported approximately the same amount of goods and services. 
D)  imported more than exports only during recessions. A

Question 4

A U.S. trade deficit means that

Accepted Answer

A)  more money is flowing into the United States than flowing out. 
B)  more money is flowing out of the United States than flowing in. 
C)  no money flows into the United States at all. 
D)  no money flows out of the United States at all. 
A)  more money is flowing into the United States than flowing out. 
B)  more money is flowing out of the United States than flowing in. 
C)  no money flows into the United States at all. 
D)  no money flows out of the United States at all.

Question 5

A U.S. trade surplus means that

Accepted Answer

A)  American firms have a growing inventory of unsold goods. 
B)  the U.S. economy is importing more goods and services than it exports. 
C)  the U.S. economy is exporting more goods and services than it imports. 
D)  the U.S. government has collected more in tax revenues than it is currently spending. 
A)  American firms have a growing inventory of unsold goods. 
B)  the U.S. economy is importing more goods and services than it exports. 
C)  the U.S. economy is exporting more goods and services than it imports. 
D)  the U.S. government has collected more in tax revenues than it is currently spending.

Question 6

The main determinant of U.S .exports

Accepted Answer

A)  is the level of aggregate demand in the United States. 
B)  is the level of aggregate demand in other countries. 
C)  is the level of imports. 
D)  is the level of U.S. consumer spending. 
A)  is the level of aggregate demand in the United States. 
B)  is the level of aggregate demand in other countries. 
C)  is the level of imports. 
D)  is the level of U.S. consumer spending.

Question 7

What happens to the demand and price of imported raw materials over the business cycle?

Accepted Answer

A)  At the beginning of an expansion, there is low demand and low prices. 
B)  At the beginning of an expansion, there is high demand and high prices. 
C)  At the beginning of an expansion, there is low demand and high prices. 
D)  At the beginning of an expansion, there is high demand and low prices. 
A)  At the beginning of an expansion, there is low demand and low prices. 
B)  At the beginning of an expansion, there is high demand and high prices. 
C)  At the beginning of an expansion, there is low demand and high prices. 
D)  At the beginning of an expansion, there is high demand and low prices.

Question 8

A U.S. trade deficit means that

Accepted Answer

A)  American firms have a declining inventory of unsold goods. 
B)  the U.S. economy is importing more goods and services than it exports. 
C)  the U.S. economy is exporting more goods and services than it imports. 
D)  the U.S. government has collected more in tax revenues than it is currently spending. 
A)  American firms have a declining inventory of unsold goods. 
B)  the U.S. economy is importing more goods and services than it exports. 
C)  the U.S. economy is exporting more goods and services than it imports. 
D)  the U.S. government has collected more in tax revenues than it is currently spending.

Question 9

A U.S. trade surplus means that

Accepted Answer

A)  more money is flowing into the United States than flowing out. 
B)  more money is flowing out of the United States than flowing in. 
C)  no money flows into the United States at all. 
D)  no money flows out of the United States at all. 
A)  more money is flowing into the United States than flowing out. 
B)  more money is flowing out of the United States than flowing in. 
C)  no money flows into the United States at all. 
D)  no money flows out of the United States at all.

The United States is a "debtor nation." What does this mean?

How does the level of imports change over the business cycle?

For the past 30 years or so, the United States has

A U.S. trade deficit means that

A U.S. trade surplus means that

The main determinant of U.S .exports

What happens to the demand and price of imported raw materials over the business cycle?

A U.S. trade deficit means that

A U.S. trade surplus means that

What Is Macroeconomics and the Evolution of Capitalism

The Classical View of the Macro-Economy

The Keynesian Revolution

National Income Accounting

Classical and Keynesian Graphical Analysis

Introduction to Economic Growth

Introduction to Business Cycles

Investment and Profit, and the Multiplier

Consumer Spending, and Credit and Interest

Housing Bubble, Financial Crisis, and Government Spending, Taxes, and Deficits

Business Cycles

Globalization and the Spread of Instability

Inflation

Monetary Policy, Financial Regulation, and Debates Over Monetary Policy

Fiscal Policy: How to Stimulate the Economy

Fiscal Policy: Austerians and Deficit Hawks V Stimulus

A Road to Full Employment

Filters

Exam 11: The Trade Gap

The United States is a "debtor nation." What does this mean?

How does the level of imports change over the business cycle?

For the past 30 years or so, the United States has

A U.S. trade deficit means that

A U.S. trade surplus means that

The main determinant of U.S .exports

What happens to the demand and price of imported raw materials over the business cycle?

A U.S. trade deficit means that

A U.S. trade surplus means that

What Is Macroeconomics and the Evolution of Capitalism

The Classical View of the Macro-Economy

The Keynesian Revolution

National Income Accounting

Classical and Keynesian Graphical Analysis

Introduction to Economic Growth

Introduction to Business Cycles

Investment and Profit, and the Multiplier

Consumer Spending, and Credit and Interest

Housing Bubble, Financial Crisis, and Government Spending, Taxes, and Deficits

Business Cycles

Globalization and the Spread of Instability

Inflation

Monetary Policy, Financial Regulation, and Debates Over Monetary Policy

Fiscal Policy: How to Stimulate the Economy

Fiscal Policy: Austerians and Deficit Hawks V Stimulus

A Road to Full Employment

Filters