Question 1

Business investment spending includes buying stocks and bonds.

Accepted Answer

A) True 
 B)False

Question 2

Government fiscal policy involves changes in the money supply.

Accepted Answer

A) True 
 B)False

Question 3

Which Canadian political party is least likely to support a hands-on approach by government?

Accepted Answer

A)  Liberal Party of Canada 
B)  Conservative Party of Canada 
C)  Bloc Quebecois 
D)  New Democratic Party 
E)  Green Party 
A)  Liberal Party of Canada 
B)  Conservative Party of Canada 
C)  Bloc Quebecois 
D)  New Democratic Party 
E)  Green Party

Question 4

Higher GDP per person generally means

Accepted Answer

A)  higher living standards. 
B)  lower prices. 
C)  higher unemployment rates. 
D)  an increasing population. 
E)  a decreasing population. 
A)  higher living standards. 
B)  lower prices. 
C)  higher unemployment rates. 
D)  an increasing population. 
E)  a decreasing population.

Question 5

Market failure happens when government fails to serve the market's interests.

Accepted Answer

A) True 
 B)False

Question 6

The hands-off camp generally believes that business cycles are caused by

Accepted Answer

A)  external events. 
B)  banking. 
C)  expectations. 
D)  money. 
E)  connection failures between input and output markets. 
A)  external events. 
B)  banking. 
C)  expectations. 
D)  money. 
E)  connection failures between input and output markets.

Question 7

Incomes are determined in input markets.

Accepted Answer

A) True 
 B)False

Question 8

Unemployment tends to be inversely related to growth in GDP.

Accepted Answer

A) True 
 B)False

Question 9

A macroeconomic choice for consumers is whether to buy an iPhone or a Blackberry.

Accepted Answer

A) True 
 B)False

Question 10

Unpredictable changes in inflation are good.

Accepted Answer

A) True 
 B)False

Question 11

Macroeconomics looks at

Accepted Answer

A)  the performance of the Canadian economy. 
B)  individual choices. 
C)  choices made by business people. 
D)  shopping. 
E)  why you might work more hours after a pay raise. 
A)  the performance of the Canadian economy. 
B)  individual choices. 
C)  choices made by business people. 
D)  shopping. 
E)  why you might work more hours after a pay raise.

Question 12

The New Democratic Party (on the political left) believes that government failure is worse than market failure.

Accepted Answer

A) True 
 B)False

Question 13

Fiscal policy includes government changes in

Accepted Answer

A)  interest rates. 
B)  the supply of money. 
C)  transfer payments. 
D)  exports. 
E)  imports. 
A)  interest rates. 
B)  the supply of money. 
C)  transfer payments. 
D)  exports. 
E)  imports.

Question 14

A macroeconomic choice for consumers is whether to spend or save.

Accepted Answer

A) True 
 B)False

Question 15

Which outcome is not part of the fundamental macroeconomic question?

Accepted Answer

A)  a strong Canadian dollar 
B)  stable prices 
C)  low unemployment 
D)  full employment 
E)  steady growth in living standards 
A)  a strong Canadian dollar 
B)  stable prices 
C)  low unemployment 
D)  full employment 
E)  steady growth in living standards

Question 16

The hands-off camp generally believes that

Accepted Answer

A)  the world is ending in 2018. 
B)  markets do not self-adjust. 
C)  markets quickly self-adjust. 
D)  demand creates its own supply. 
E)  markets do not exist. 
A)  the world is ending in 2018. 
B)  markets do not self-adjust. 
C)  markets quickly self-adjust. 
D)  demand creates its own supply. 
E)  markets do not exist.

Question 17

The largest group of macroeconomic players that chooses whether or not to spend on imported products and services is

Accepted Answer

A)  businesses. 
B)  consumers. 
C)  government. 
D)  the rest of world. 
E)  the Bank of Canada and banking system. 
A)  businesses. 
B)  consumers. 
C)  government. 
D)  the rest of world. 
E)  the Bank of Canada and banking system.

Question 18

Macroeconomists

Accepted Answer

A)  agree that prices and markets adjust. 
B)  differ on how long it takes for prices and markets to adjust. 
C)  agree that business cycles happen even without government failure. 
D)  agree that there is some role for government. 
E)  differ on how big a role government should play in economic policy.
F) all of the above. 
A)  agree that prices and markets adjust. 
B)  differ on how long it takes for prices and markets to adjust. 
C)  agree that business cycles happen even without government failure. 
D)  agree that there is some role for government. 
E)  differ on how big a role government should play in economic policy.
F) all of the above.

Question 19

Who said, "In the long run, we are all dead?"

Accepted Answer

A)  J.M. Keynes 
B)  J.B. Say 
C)  J.K. Rowling 
D)  G.B. Shaw 
E)  D. Vader 
A)  J.M. Keynes 
B)  J.B. Say 
C)  J.K. Rowling 
D)  G.B. Shaw 
E)  D. Vader

Question 20

Thinking like a macroeconomist means focusing on connections between additional benefits and additional opportunity costs.

Accepted Answer

A) True 
 B)False

Business investment spending includes buying stocks and bonds.

Government fiscal policy involves changes in the money supply.

Which Canadian political party is least likely to support a hands-on approach by government?

Higher GDP per person generally means

Market failure happens when government fails to serve the market's interests.

The hands-off camp generally believes that business cycles are caused by

Incomes are determined in input markets.

Unemployment tends to be inversely related to growth in GDP.

A macroeconomic choice for consumers is whether to buy an iPhone or a Blackberry.

Unpredictable changes in inflation are good.

Macroeconomics looks at

The New Democratic Party (on the political left) believes that government failure is worse than market failure.

Fiscal policy includes government changes in

A macroeconomic choice for consumers is whether to spend or save.

Which outcome is not part of the fundamental macroeconomic question?

The hands-off camp generally believes that

The largest group of macroeconomic players that chooses whether or not to spend on imported products and services is

Macroeconomists

Who said, "In the long run, we are all dead?"

Thinking like a macroeconomist means focusing on connections between additional benefits and additional opportunity costs.

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

Business investment spending includes buying stocks and bonds.

Government fiscal policy involves changes in the money supply.

Which Canadian political party is least likely to support a hands-on approach by government?

Higher GDP per person generally means

Market failure happens when government fails to serve the market's interests.

The hands-off camp generally believes that business cycles are caused by

Incomes are determined in input markets.

Unemployment tends to be inversely related to growth in GDP.

A macroeconomic choice for consumers is whether to buy an iPhone or a Blackberry.

Unpredictable changes in inflation are good.

Macroeconomics looks at

The New Democratic Party (on the political left) believes that government failure is worse than market failure.

Fiscal policy includes government changes in

A macroeconomic choice for consumers is whether to spend or save.

Which outcome is not part of the fundamental macroeconomic question?

The hands-off camp generally believes that

The largest group of macroeconomic players that chooses whether or not to spend on imported products and services is

Macroeconomists

Who said, "In the long run, we are all dead?"

Thinking like a macroeconomist means focusing on connections between additional benefits and additional opportunity costs.

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