Question 1

The Conservative Party of Canada (on the political right) believes that government failure is worse than market failure.

Accepted Answer

A) True 
 B)False  True

Question 2

Which statement is false?

Accepted Answer

A)  Consumer spending is business income. 
B)  Business spending is consumer income. 
C)  If consumers and businesses both cut spending, everyone's incomes falls. 
D)  If consumers and businesses both cut spending, employment increases. 
E)  Falling wages decrease demand in output markets. 
A)  Consumer spending is business income. 
B)  Business spending is consumer income. 
C)  If consumers and businesses both cut spending, everyone's incomes falls. 
D)  If consumers and businesses both cut spending, employment increases. 
E)  Falling wages decrease demand in output markets. D

Question 3

According to the fallacy of composition, "What is true for one is not true for all."

Accepted Answer

A) True 
 B)False  True

Question 4

In the circular flow of economic life, which players are the main sellers in input markets?

Accepted Answer

A)  economists 
B)  households 
C)  governments 
D)  banks 
E)  businesses 
A)  economists 
B)  households 
C)  governments 
D)  banks 
E)  businesses

Question 5

If your income does not rise as fast as the prices of what you buy, your standard of living decreases.

Accepted Answer

A) True 
 B)False

Question 6

The economist most associated with the view that markets are not quick to adjust is J.B. Say.

Accepted Answer

A) True 
 B)False

Question 7

Economists call the final value of all products and services produced annually in a country,

Accepted Answer

A)  gross domestic product. 
B)  total product. 
C)  grand total product. 
D)  industrial value of product. 
E)  national production. 
A)  gross domestic product. 
B)  total product. 
C)  grand total product. 
D)  industrial value of product. 
E)  national production.

Question 8

The Great Depression lasted for less than 24 months.

Accepted Answer

A) True 
 B)False

Question 9

The Great Depression of 1929 was worse than the Great Recession of 2009 because in 1929 there were no

Accepted Answer

A)  stock market crashes. 
B)  government programs to help the unemployed. 
C)  bank failures. 
D)  government blunders. 
E)  falling prices. 
A)  stock market crashes. 
B)  government programs to help the unemployed. 
C)  bank failures. 
D)  government blunders. 
E)  falling prices.

Question 10

The hands-on camp believes that business cycles are caused by normally functioning markets.

Accepted Answer

A) True 
 B)False

Question 11

The Bank of Canada is responsible for setting tax rates.

Accepted Answer

A) True 
 B)False

Question 12

The hands-on camp believes that market failure is worse than government failure.

Accepted Answer

A) True 
 B)False

Question 13

Macroeconomics looks at

Accepted Answer

A)  the global economy. 
B)  the combined outcomes of all individual choices. 
C)  the Canadian economy. 
D)  money and the financial system. 
E)  all of the above answers. 
A)  the global economy. 
B)  the combined outcomes of all individual choices. 
C)  the Canadian economy. 
D)  money and the financial system. 
E)  all of the above answers.

Question 14

If your income rises faster than the prices of what you buy, your standard of living increases.

Accepted Answer

A) True 
 B)False

Question 15

Rest-of-the-world players can invest in Canadian businesses.

Accepted Answer

A) True 
 B)False

Question 16

Thinking like a macroeconomist means focusing on connections between input markets and output markets.

Accepted Answer

A) True 
 B)False

Question 17

Government conducts fiscal policy by changing interest rates.

Accepted Answer

A) True 
 B)False

Question 18

Microeconomics is about the combined outcome of individual choices.

Accepted Answer

A) True 
 B)False

Question 19

The hands-on camp generally believes that

Accepted Answer

A)  government is part of the problem. 
B)  capitalism is better than socialism. 
C)  markets quickly self-adjust. 
D)  supply creates its own demand. 
E)  macroeconomic and microeconomic outcomes are different. 
A)  government is part of the problem. 
B)  capitalism is better than socialism. 
C)  markets quickly self-adjust. 
D)  supply creates its own demand. 
E)  macroeconomic and microeconomic outcomes are different.

Question 20

When the total value of products and services produced goes up, unemployment decreases.

Accepted Answer

A) True 
 B)False

The Conservative Party of Canada (on the political right) believes that government failure is worse than market failure.

Which statement is false?

According to the fallacy of composition, "What is true for one is not true for all."

In the circular flow of economic life, which players are the main sellers in input markets?

If your income does not rise as fast as the prices of what you buy, your standard of living decreases.

The economist most associated with the view that markets are not quick to adjust is J.B. Say.

Economists call the final value of all products and services produced annually in a country,

The Great Depression lasted for less than 24 months.

The Great Depression of 1929 was worse than the Great Recession of 2009 because in 1929 there were no

The hands-on camp believes that business cycles are caused by normally functioning markets.

The Bank of Canada is responsible for setting tax rates.

The hands-on camp believes that market failure is worse than government failure.

Macroeconomics looks at

If your income rises faster than the prices of what you buy, your standard of living increases.

Rest-of-the-world players can invest in Canadian businesses.

Thinking like a macroeconomist means focusing on connections between input markets and output markets.

Government conducts fiscal policy by changing interest rates.

Microeconomics is about the combined outcome of individual choices.

The hands-on camp generally believes that

When the total value of products and services produced goes up, unemployment decreases.

Whats in Economics for You Scarcity, Opportunity Cost, Trade, and Models

Making Smart Choices: the Law of Demand

Show Me the Money: the Law of Supply

Coordinating Smart Choices: Demand and Supply

Up Around the Circular Flow: Gdp, Economic Growth, and Business Cycles

Costs of Not Working and Living: Unemployment and Inflation

Skating to Where the Puck Is Going: Aggregate Supply and Aggregate Demand

Money Is for Lunatics: Demanders and Suppliers of Money

Trading Dollars for Dollars Exchange Rates and Payments With the Rest of the World

Steering Blindly Monetary Policy and the Bank of Canada

Spending Others Money: Fiscal Policy, Deficits, and National Debt

Are Sweatshops All Bad Globalization and Trade Policy

Filters

Exam 5: Are Your Smart Choices Smart for All Macroeconomics and Microeconomics

The Conservative Party of Canada (on the political right) believes that government failure is worse than market failure.

Which statement is false?

According to the fallacy of composition, "What is true for one is not true for all."

In the circular flow of economic life, which players are the main sellers in input markets?

If your income does not rise as fast as the prices of what you buy, your standard of living decreases.

The economist most associated with the view that markets are not quick to adjust is J.B. Say.

Economists call the final value of all products and services produced annually in a country,

The Great Depression lasted for less than 24 months.

The Great Depression of 1929 was worse than the Great Recession of 2009 because in 1929 there were no

The hands-on camp believes that business cycles are caused by normally functioning markets.

The Bank of Canada is responsible for setting tax rates.

The hands-on camp believes that market failure is worse than government failure.

Macroeconomics looks at

If your income rises faster than the prices of what you buy, your standard of living increases.

Rest-of-the-world players can invest in Canadian businesses.

Thinking like a macroeconomist means focusing on connections between input markets and output markets.

Government conducts fiscal policy by changing interest rates.

Microeconomics is about the combined outcome of individual choices.

The hands-on camp generally believes that

When the total value of products and services produced goes up, unemployment decreases.

Whats in Economics for You Scarcity, Opportunity Cost, Trade, and Models

Making Smart Choices: the Law of Demand

Show Me the Money: the Law of Supply

Coordinating Smart Choices: Demand and Supply

Up Around the Circular Flow: Gdp, Economic Growth, and Business Cycles

Costs of Not Working and Living: Unemployment and Inflation

Skating to Where the Puck Is Going: Aggregate Supply and Aggregate Demand

Money Is for Lunatics: Demanders and Suppliers of Money

Trading Dollars for Dollars Exchange Rates and Payments With the Rest of the World

Steering Blindly Monetary Policy and the Bank of Canada

Spending Others Money: Fiscal Policy, Deficits, and National Debt

Are Sweatshops All Bad Globalization and Trade Policy

Filters