Question 1

Explain how the largest sources of state tax revenues differs from the largest sources of federal tax revenues.

Accepted Answer

The two largest sources of federal tax r

Question 2

Which of the following isNOTshown explicitly in the circular flow model?

Accepted Answer

A)  the governments' purchases in the goods market 
B)  the taxes the governments collect from households 
C)  the governments' interaction with firms 
D)  the legal system 
E)  the transfers the governments make to households 
A)  the governments' purchases in the goods market 
B)  the taxes the governments collect from households 
C)  the governments' interaction with firms 
D)  the legal system 
E)  the transfers the governments make to households

Question 3

As a percentage of total world production,production in the 29 advanced economies is about ________ percent of total world production and in the 118 developing economies is about ________ percent of total world production.

Accepted Answer

A)  53; 39 
B)  23; 62 
C)  53; 12 
D)  30; 46 
E)  19; 73 
A)  53; 39 
B)  23; 62 
C)  53; 12 
D)  30; 46 
E)  19; 73

Question 4

The figure above shows the circular flow model.
-In the figure above,which of the following transactions take place in the factor markets?
i.Michael,a student,orders a computer from Dell online.
ii.Peter gets a job at a Wal-Mart store.
iii.Apple Computer opens a new store in Georgia

Accepted Answer

A)  ii and iii 
B)  only i 
C)  only ii 
D)  only iii 
E)  i and ii 
A)  ii and iii 
B)  only i 
C)  only ii 
D)  only iii 
E)  i and ii

Question 5

In the circular flow model with the government sector,transfers

Accepted Answer

A)  flow in the same direction as do taxes. 
B)  flow in the opposite direction as do taxes. 
C)  to households flow in the same direction as do expenditures on goods and services. 
D)  to firms flow in the same direction as do rent, wages, interest, and profits. 
E)  flow only through the goods market. 
A)  flow in the same direction as do taxes. 
B)  flow in the opposite direction as do taxes. 
C)  to households flow in the same direction as do expenditures on goods and services. 
D)  to firms flow in the same direction as do rent, wages, interest, and profits. 
E)  flow only through the goods market.

Question 6

In the circular flow model,consumption goods are bought and sold in the

Accepted Answer

A)  goods markets. 
B)  financial market. 
C)  factor markets. 
D)  government market. 
E)  monetary flows. 
A)  goods markets. 
B)  financial market. 
C)  factor markets. 
D)  government market. 
E)  monetary flows.

Question 7

In the factor market,firms ________ and households ________.

Accepted Answer

A)  hire land, labor, capital, and entrepreneurship services; purchase goods and services 
B)  supply land, labor, capital, and entrepreneurship services; hire land, labor, capital, and entrepreneurship services 
C)  pay rent, wages, interest, and profit; earn rent, wages, interest, and profit 
D)  purchase goods and services; supply goods and services 
E)  supply goods and services; purchase goods and services 
A)  hire land, labor, capital, and entrepreneurship services; purchase goods and services 
B)  supply land, labor, capital, and entrepreneurship services; hire land, labor, capital, and entrepreneurship services 
C)  pay rent, wages, interest, and profit; earn rent, wages, interest, and profit 
D)  purchase goods and services; supply goods and services 
E)  supply goods and services; purchase goods and services

Question 8

State and local governments spend about ________ of their expenditures on education.

Accepted Answer

A)  14 percent 
B)  19 percent 
C)  34 percent 
D)  59 percent 
E)  74 percent 
A)  14 percent 
B)  19 percent 
C)  34 percent 
D)  59 percent 
E)  74 percent

Question 9

Capital,as a factor of production,refers to

Accepted Answer

A)  money, stocks, and bonds. 
B)  the production technology used by firms. 
C)  the tools and instruments used to produce other goods and services. 
D)  the production factors imported from abroad. 
E)  stocks and bonds but not money. 
A)  money, stocks, and bonds. 
B)  the production technology used by firms. 
C)  the tools and instruments used to produce other goods and services. 
D)  the production factors imported from abroad. 
E)  stocks and bonds but not money.

Question 10

The two biggest items of the U.S.federal government revenue that together account for over approximately 80 percent of total federal government revenue are

Accepted Answer

A)  personal income taxes and Social Security taxes. 
B)  personal income taxes and corporate income taxes. 
C)  corporate income taxes and Social Security taxes. 
D)  corporate income taxes and property taxes. 
E)  personal income taxes and sales taxes. 
A)  personal income taxes and Social Security taxes. 
B)  personal income taxes and corporate income taxes. 
C)  corporate income taxes and Social Security taxes. 
D)  corporate income taxes and property taxes. 
E)  personal income taxes and sales taxes.

Question 11

In the United States,the richest 20 percent of households receive about ________ percent of total income.

Accepted Answer

A)  4 
B)  15 
C)  23 
D)  50 
E)  33 
A)  4 
B)  15 
C)  23 
D)  50 
E)  33

Question 12

In the circular flow model,which of the following flows in the opposite direction from the flow of factors of production?

Accepted Answer

A)  finished goods and services 
B)  wages, rent, interest, and profit 
C)  interests payments of Federal, state, and local governments 
D)  firm's profit incentives 
E)  the goods market 
A)  finished goods and services 
B)  wages, rent, interest, and profit 
C)  interests payments of Federal, state, and local governments 
D)  firm's profit incentives 
E)  the goods market

Question 13

What are the two largest sources of tax revenues for the U.S.federal government?

Accepted Answer

The largest source of tax revenue for th

Question 14

Households receive transfers from ________ and firms receive transfers from ________.

Accepted Answer

A)  government; government 
B)  firms; households 
C)  government; government and households 
D)  firms and government; government 
E)  government; no one 
A)  government; government 
B)  firms; households 
C)  government; government and households 
D)  firms and government; government 
E)  government; no one

Question 15

Households and firms in the U.S.economy interact with those in the rest of the world in the ________ market and in the ________ market.

Accepted Answer

A)  goods; factor 
B)  goods; financial 
C)  government; goods 
D)  financial; factor 
E)  firm; government 
A)  goods; factor 
B)  goods; financial 
C)  government; goods 
D)  financial; factor 
E)  firm; government

Question 16

Explain the difference between consumption and capital goods.

Accepted Answer

A difference lies in the identity of the

Question 17

A circular flow model shows the interrelationship between the ________ market and the ________ markets.

Accepted Answer

A)  household; goods 
B)  household; factor 
C)  business; household 
D)  expenditure; income 
E)  goods; factor 
A)  household; goods 
B)  household; factor 
C)  business; household 
D)  expenditure; income 
E)  goods; factor

Question 18

Margo orders a MacBook Pro computer from The Apple Store online to use it in her graphic design business.How will this be reflected in the figure above?

Accepted Answer

A)  as a flow of a factor of production 
B)  as a flow of goods and services bought 
C)  as expenditures on goods and services 
D)  as goods and services supplied 
E)  It won't be shown in the figure because this transaction takes place neither in goods markets nor in factor markets. 
A)  as a flow of a factor of production 
B)  as a flow of goods and services bought 
C)  as expenditures on goods and services 
D)  as goods and services supplied 
E)  It won't be shown in the figure because this transaction takes place neither in goods markets nor in factor markets.

Question 19

State and local governments finance expenditures mainly from

Accepted Answer

A)  tax revenue. 
B)  funds provided by the federal government. 
C)  government bonds issued at the state level. 
D)  private bank loans. 
E)  lottery funds. 
A)  tax revenue. 
B)  funds provided by the federal government. 
C)  government bonds issued at the state level. 
D)  private bank loans. 
E)  lottery funds.

Question 20

Label the flows in the simplified circular flow diagram that ignores the government.

Accepted Answer

@#IMG-DLM& The figur

Explain how the largest sources of state tax revenues differs from the largest sources of federal tax revenues.

Which of the following isNOTshown explicitly in the circular flow model?

As a percentage of total world production,production in the 29 advanced economies is about percent of total world production and in the 118 developing economies is about percent of total world production.

The figure above shows the circular flow model. -In the figure above,which of the following transactions take place in the factor markets? i.Michael,a student,orders a computer from Dell online. ii.Peter gets a job at a Wal-Mart store. iii.Apple Computer opens a new store in Georgia

In the circular flow model with the government sector,transfers

In the circular flow model,consumption goods are bought and sold in the

In the factor market,firms and households .

State and local governments spend about ________ of their expenditures on education.

Capital,as a factor of production,refers to

The two biggest items of the U.S.federal government revenue that together account for over approximately 80 percent of total federal government revenue are

In the United States,the richest 20 percent of households receive about ________ percent of total income.

In the circular flow model,which of the following flows in the opposite direction from the flow of factors of production?

What are the two largest sources of tax revenues for the U.S.federal government?

Households receive transfers from and firms receive transfers from .

Households and firms in the U.S.economy interact with those in the rest of the world in the market and in the market.

Explain the difference between consumption and capital goods.

A circular flow model shows the interrelationship between the market and the markets.

Margo orders a MacBook Pro computer from The Apple Store online to use it in her graphic design business.How will this be reflected in the figure above?

State and local governments finance expenditures mainly from

Label the flows in the simplified circular flow diagram that ignores the government.

Getting Started

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Taxes

Global Markets in Action

Externalities

Public Goods and Common Resources

Markets with Private Information

Consumer Choice and Demand

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

Markets for Factors of Production

Economic Inequality

Filters

Exam 2: The U.S.and Global Economies

Explain how the largest sources of state tax revenues differs from the largest sources of federal tax revenues.

Which of the following isNOTshown explicitly in the circular flow model?

As a percentage of total world production,production in the 29 advanced economies is about ________ percent of total world production and in the 118 developing economies is about ________ percent of total world production.

The figure above shows the circular flow model. -In the figure above,which of the following transactions take place in the factor markets? i.Michael,a student,orders a computer from Dell online. ii.Peter gets a job at a Wal-Mart store. iii.Apple Computer opens a new store in Georgia

In the circular flow model with the government sector,transfers

In the circular flow model,consumption goods are bought and sold in the

In the factor market,firms ________ and households ________.

State and local governments spend about ________ of their expenditures on education.

Capital,as a factor of production,refers to

The two biggest items of the U.S.federal government revenue that together account for over approximately 80 percent of total federal government revenue are

In the United States,the richest 20 percent of households receive about ________ percent of total income.

In the circular flow model,which of the following flows in the opposite direction from the flow of factors of production?

What are the two largest sources of tax revenues for the U.S.federal government?

Households receive transfers from ________ and firms receive transfers from ________.

Households and firms in the U.S.economy interact with those in the rest of the world in the ________ market and in the ________ market.

Explain the difference between consumption and capital goods.

A circular flow model shows the interrelationship between the ________ market and the ________ markets.

Margo orders a MacBook Pro computer from The Apple Store online to use it in her graphic design business.How will this be reflected in the figure above?

State and local governments finance expenditures mainly from

Label the flows in the simplified circular flow diagram that ignores the government.

Getting Started

The Economic Problem

Demand and Supply

Elasticities of Demand and Supply

Efficiency and Fairness of Markets

Government Actions in Markets

Taxes

Global Markets in Action

Externalities

Public Goods and Common Resources

Markets with Private Information

Consumer Choice and Demand

Production and Cost

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

Markets for Factors of Production

Economic Inequality

Filters

As a percentage of total world production,production in the 29 advanced economies is about percent of total world production and in the 118 developing economies is about percent of total world production.

In the factor market,firms and households .

Households receive transfers from and firms receive transfers from .

Households and firms in the U.S.economy interact with those in the rest of the world in the market and in the market.

A circular flow model shows the interrelationship between the market and the markets.