Exam 16: Macroeconomics: The Birds Eye View of the Economy

If average labor productivity increases while population and the number of employed workers remain constant, then output per person:

Average labor productivity equals:

Positive analysis:

When jobs are easy to find, wage increases are frequently given, and businesses are doing well, the economy is most likely in a(n):

________ policy focuses on the nation's money supply, while ________ policy aims at changing the underlying structures or institutions of the economy.

In both Gamma and Delta average labor productivity is $40,000 per worker per year. The population of Gamma is 200,000 and the population of Delta is 400,000. Fifty percent of the population in each country is employed. Total output in Gamma is ________ and total output in Delta is ________.

Most economists who have studied it believe that the Great Depression was caused by:

Which of the following correctly ranks the amounts from smallest to largest?

The provision of additional cash to the banking system is an example of ________ policy.

The adding up of individual economic variables to obtain economy wide totals is called:

If tax revenues equal 25 percent of total output and government expenditures equal 20 percent of total output, then there is a:

All of the following are examples of normative statements EXCEPT:

An increase in interest rates by the Federal Reserve is an example of ________ policy.

"The Federal Reserve should raise interest rates in order to keep inflation at an acceptably low level" is a ________ statement about ________ policy.

Major macroeconomic questions include all of the following EXCEPT:

If average labor productivity decreases, then the same number of employed workers will always produce:

When jobs are hard to find, profits are low, few wage increases are given, and many companies go out of business, the economy is most likely in a(n):

When comparing the standard of living in two countries it is important to adjust total output for differences in:

The Federal Reserve makes decisions regarding:

To aggregate 300 tons of steel, 5,000 bushels of wheat, and 1 million barrels of crude oil, economists add together the ________ of the three products