Question 1

In recent decades, international trade has _____

Accepted Answer

A)  remained constant as a percentage of U.S. GDP. 
B)  declined as a fraction of U.S. GDP. 
C)  increased as a fraction of U.S. GDP. 
D)  declined as measured by total dollars spent. 
E)  remained constant as measured by total dollars spent. 
A)  remained constant as a percentage of U.S. GDP. 
B)  declined as a fraction of U.S. GDP. 
C)  increased as a fraction of U.S. GDP. 
D)  declined as measured by total dollars spent. 
E)  remained constant as measured by total dollars spent.

Question 2

Which of the following is a result of increased real wages in the United States?

Accepted Answer

A)  A decrease in the quantity of services demanded by households 
B)  An increase in the opportunity cost of remaining employed in the home 
C)  A decrease in the opportunity cost of working outside the home 
D)  A decline in the number of households providing labor outside the home 
E)  An increase in the self-sufficiency of households 
A)  A decrease in the quantity of services demanded by households 
B)  An increase in the opportunity cost of remaining employed in the home 
C)  A decrease in the opportunity cost of working outside the home 
D)  A decline in the number of households providing labor outside the home 
E)  An increase in the self-sufficiency of households

Question 3

The ______ indicates the percentage of each additional dollar of income that goes into taxes.

Accepted Answer

A)  ability-to-pay 
B)  proportional tax rate 
C)  progressive tax rate 
D)  marginal tax rate 
E)  tax incidence 
A)  ability-to-pay 
B)  proportional tax rate 
C)  progressive tax rate 
D)  marginal tax rate 
E)  tax incidence

Question 4

When the government sells something it produces, _____

Accepted Answer

A)  revenue received must be greater than cost to justify government production. 
B)  revenue received must equal cost because the government is a nonprofit organization. 
C)  the price does not always reflect the cost of producing the good. 
D)  the price charged is an accurate measure of the benefits generated. 
E)  it prices the good the same way a natural monopolist would. 
A)  revenue received must be greater than cost to justify government production. 
B)  revenue received must equal cost because the government is a nonprofit organization. 
C)  the price does not always reflect the cost of producing the good. 
D)  the price charged is an accurate measure of the benefits generated. 
E)  it prices the good the same way a natural monopolist would.

Question 5

During recent elections, consumer groups in various states attempted to get the sales tax on all medication and drugs removed. They argued that such a tax is severely regressive. Which of the following is the economic interpretation of their statement?

Accepted Answer

A)  The poor fall ill more often than the rich. 
B)  The poor pay higher prices for medication and drugs than the rich. 
C)  The poor pay a higher percentage of their income in taxes on medication than the rich. 
D)  All consumers pay too much money for medication and drugs. 
E)  The sales tax discourages the poor from seeking medical treatment. 
A)  The poor fall ill more often than the rich. 
B)  The poor pay higher prices for medication and drugs than the rich. 
C)  The poor pay a higher percentage of their income in taxes on medication than the rich. 
D)  All consumers pay too much money for medication and drugs. 
E)  The sales tax discourages the poor from seeking medical treatment.

In recent decades, international trade has _____

Which of the following is a result of increased real wages in the United States?

The ______ indicates the percentage of each additional dollar of income that goes into taxes.

When the government sells something it produces, _____

During recent elections, consumer groups in various states attempted to get the sales tax on all medication and drugs removed. They argued that such a tax is severely regressive. Which of the following is the economic interpretation of their statement?

The Art and Science of Economic Analysis.

Economic Tools and Economic Systems.

Demand, Supply, and Markets.

Introduction to Macroeconomics.

Tracking the U. S. Economy.

Unemployment and Inflation.

Productivity and Growth.

Aggregate Demand.

Aggregate Supply.

Fiscal Policy.

Federal Budgets and Public Policy.

Money and the Financial System.

Banking and the Money Supply.

Monetary Theory and Policy.

Macro Policy Debate: Active or Passive?

International Trade.

International Finance.

Economic Development.

Filters

Exam 3: Economic Decision Makers.

In recent decades, international trade has _____

Which of the following is a result of increased real wages in the United States?

The ______ indicates the percentage of each additional dollar of income that goes into taxes.

When the government sells something it produces, _____

During recent elections, consumer groups in various states attempted to get the sales tax on all medication and drugs removed. They argued that such a tax is severely regressive. Which of the following is the economic interpretation of their statement?

The Art and Science of Economic Analysis.

Economic Tools and Economic Systems.

Demand, Supply, and Markets.

Introduction to Macroeconomics.

Tracking the U. S. Economy.

Unemployment and Inflation.

Productivity and Growth.

Aggregate Demand.

Aggregate Supply.

Fiscal Policy.

Federal Budgets and Public Policy.

Money and the Financial System.

Banking and the Money Supply.

Monetary Theory and Policy.

Macro Policy Debate: Active or Passive?

International Trade.

International Finance.

Economic Development.

Filters