Question 1

The Federal Reserve Board's objectives for the American economy include high employment, stable prices, and steady growth in productive capacity.

Accepted Answer

A) True 
 B)False

Question 2

Cost-push inflation is the result of

Accepted Answer

A)  increased manufacturing costs. 
B)  increased demand for a product. 
C)  changes in the money supply. 
D)  changes in interest rates. 
A)  increased manufacturing costs. 
B)  increased demand for a product. 
C)  changes in the money supply. 
D)  changes in interest rates.

Question 3

Through the Federal Reserve Banks, the Federal Reserve Board can create money but cannot destroy money.

Accepted Answer

A) True 
 B)False

Question 4

Real estate values are affected by the federal government's

Accepted Answer

A)  tax rules. 
B)  laws. 
C)  deficits. 
D)  all of the above. 
A)  tax rules. 
B)  laws. 
C)  deficits. 
D)  all of the above.

Question 5

The extent to which regions and cities are vulnerable to changes in the economic base has little to do with the ability of base industries to consistently export their products.

Accepted Answer

A) True 
 B)False

Question 6

Communities which are suffering from an economic depression caused by a decline in demand for the products of a single base industry tend to derive little benefit from diversification of their economic base.

Accepted Answer

A) True 
 B)False

Question 7

Choose the one most appropriate answer for each.
-an industry that produces goods or services for export from the region;also called primary or export industries

Accepted Answer

A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability 
A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability

Question 8

Choose the one most appropriate answer for each.
-producers of goods and services that are not exported;also called service or filler industries

Accepted Answer

A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability 
A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability

Question 9

Real-cost inflation can be cooled by environmental controls and depletion of natural resources.

Accepted Answer

A) True 
 B)False

Question 10

A community's economic base is determined by its ability to produce goods and/or services for consumption within the local area.

Accepted Answer

A) True 
 B)False

Question 11

When too much money chases too few goods, it is known as

Accepted Answer

A)  cost-push inflation. 
B)  demand-pull inflation. 
C)  real-cost inflation. 
D)  deflation. 
A)  cost-push inflation. 
B)  demand-pull inflation. 
C)  real-cost inflation. 
D)  deflation.

Question 12

Choose the one most appropriate answer for each.
-price changes for developed real property can be rapid and dramatic over short periods of time

Accepted Answer

A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability 
A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability

Question 13

The employment ____________________ describes the number of people employed in local service industries as a function of the number of people employed in a base industry.

Accepted Answer

The answer of The employment ____________________ describes the number of...

Question 14

The tourist industry in Florida or oil wells on Alaska's North Slope would be examples of base industries.

Accepted Answer

A) True 
 B)False

Question 15

The post-World War II baby boom includes persons aged

Accepted Answer

A)  30 to 40 in 1960. 
B)  35 to 40 in 1985. 
C)  50 to 60 in 1980. 
D)  none of the above. 
A)  30 to 40 in 1960. 
B)  35 to 40 in 1985. 
C)  50 to 60 in 1980. 
D)  none of the above.

Question 16

The advent of the secondary mortgage market

Accepted Answer

A)  made available previously untapped sources of money for real estate mortgage loans. 
B)  contributed to real estate speculation and inflation in the late 1970s. 
C)  both a and b. 
D)  neither a nor b. 
A)  made available previously untapped sources of money for real estate mortgage loans. 
B)  contributed to real estate speculation and inflation in the late 1970s. 
C)  both a and b. 
D)  neither a nor b.

Question 17

Choose the one most appropriate answer for each.
-higher prices due to greater effort needed to produce the same product today

Accepted Answer

A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability 
A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability

Question 18

The existence of a base industry is essential to the economic health of a community.

Accepted Answer

A) True 
 B)False

Question 19

____________________ inflation results from increasing the money supply faster than increases in goods and services to buy.

Accepted Answer

The answer of ____________________ inflation results from increasing the money...

Question 20

Choose the one most appropriate answer for each.
-higher prices due to buyers bidding against each other

Accepted Answer

A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability 
A) age distribution 
B) base industry 
C) buying pattern 
D) cost-push inflation 
E) demand
F)demand-pull inflation
G)economic base
H)employment multiplier
I)Federal Reserve Board
J)long-run demand
K)monetary inflation
L)monetize the debt
M)primary industry
N)real
O)real-cost inflation
P)secondary industry
Q)service industry
R)short-run demand
S)supply
T)vulnerability

Exam 25: Real Estate and the Economy

The Federal Reserve Board's objectives for the American economy include high employment, stable prices, and steady growth in productive capacity.

Cost-push inflation is the result of

Through the Federal Reserve Banks, the Federal Reserve Board can create money but cannot destroy money.

Real estate values are affected by the federal government's

The extent to which regions and cities are vulnerable to changes in the economic base has little to do with the ability of base industries to consistently export their products.

Communities which are suffering from an economic depression caused by a decline in demand for the products of a single base industry tend to derive little benefit from diversification of their economic base.

Choose the one most appropriate answer for each. -an industry that produces goods or services for export from the region;also called primary or export industries

Choose the one most appropriate answer for each. -producers of goods and services that are not exported;also called service or filler industries

Real-cost inflation can be cooled by environmental controls and depletion of natural resources.

A community's economic base is determined by its ability to produce goods and/or services for consumption within the local area.

When too much money chases too few goods, it is known as

Choose the one most appropriate answer for each. -price changes for developed real property can be rapid and dramatic over short periods of time

The employment ____________________ describes the number of people employed in local service industries as a function of the number of people employed in a base industry.

The tourist industry in Florida or oil wells on Alaska's North Slope would be examples of base industries.

The post-World War II baby boom includes persons aged

The advent of the secondary mortgage market

Choose the one most appropriate answer for each. -higher prices due to greater effort needed to produce the same product today

The existence of a base industry is essential to the economic health of a community.

____________________ inflation results from increasing the money supply faster than increases in goods and services to buy.

Choose the one most appropriate answer for each. -higher prices due to buyers bidding against each other

Nature and Description of Real Estate

Rights and Interests in Land

Forms of Ownership

Transferring Title

Recordation Abstracts and Title Insurance

Contract Law

Real Estate Sales Contracts

Mortgage and Note

Deed of Trust

Lending Practices

The Loan and the Consumer

Sources of Financing

Types of Financing

Taxes and Assessments

Title Closing and Escrow

Real Estate Leases

Real Estate Appraisal

Licensing Laws and Professional Affiliation

The Principal-Broker Relationship: Employment

The Principal-Broker Relationship: Agency

Fair Housing, Ada, Equal Credit, and Community Reinvestment

Condominiums, Cooperatives, Puds, and Timeshares

Property Insurance

Land-Use Control

Investing in Real Estate

Filters