Exam 6: Macroeconomics: the Big Picture

A pattern of expansion, then recession, then expansion again is a(n):

A rubber-necking traffic jam an example of:

The General Theory of Employment, Interest, and Money, written by _____ and published in _____, transformed the way economists thought about macroeconomics.

Use the following to answer questions: -(Figure: The Business Cycle) The movement from point B to C is called a(n):

In recent times, the U.S. government has been trying to help the economy through one of the worst economic slumps ever. The policies used are based on _____ theory.

The topics studied in macroeconomics include:

Keynesian economics promotes ideas that:

Use of fiscal policy involves changes in:

If during several quarters, the economy is simultaneously increasing its levels of output and employment, then the economy is in a(n):

A change in the level of overall spending in the economy due to a change in the interest rate, brought about by a change in the quantity of money, is an example of _____ policy.

Deflation:

The point on a business cycle when real GDP stops falling and begins rising is a(n):

Use the following to answer questions: -(Figure: The Business Cycle) Point B on this graph shows a(n):

Historical evidence shows that for determining a country's living standards, over:

A business cycle is a:

The modern macroeconomic tools used by the government are _____ policy and _____ policy.

Which question is the MOST appropriate to the study of MACROECONOMICS?

An increase in the nation's overall price level is:

The economist whose writings in the 1930s argued that the cause of an economic depression is inadequate spending was:

A recession does NOT lead to: