Exam 5: Introduction to Macroeconomics

A period when the economy shrinks is known as

If output is rising and unemployment is falling,the economy MUST be in a(n)

Mike purchased a 1968 Chevy Corvette in 2009 for $30,000 and a year later he sold it for $36,000.Due to these transactions

The period in the business cycle from a peak to a trough is a(n)

If Tomas purchases a share of stock for $150 and one year later sells it for $225,he will realize a

Refer to the information for this hypothetical economy provided in Table 5.1 below to answer the questions that follow. Table 5.1 2010 2011 2012 -Refer to Table 5.1.Which of the following quarters can be associated with inflation?

A promissory note issued by a corporation when it borrows money is a

Since 1970,the U.S.economy has experienced two

Monetary policy includes changing the level of household taxes.

According to the Classical economists,the economy

The portion of a corporation's profits that a firm pays out each period to its shareholders is a

During the U.S.recession of 1980-1982,the unemployment rate reached a high of ________ percent.

Macroeconomics is concerned with inflation or deflation,output growth and unemployment.

According to Keynes,the government's role during periods when private demand is low is to stimulate aggregate demand and,by so doing,lift the economy out of recession.

A household that spends less than it receives in income during a given period is

Fiscal policy generally takes the form of regulations specifying the maximum amount by which the money supply can be changed.

Which of the following is NOT a topic studied in Macroeconomics?

Unemployment implies that in the labor market

To get the economy out of a slump,Keynes believed that the government should

Between a peak and a trough,the economy goes through a(n)