Question 1

If real GDP in 2013 is $10 trillion,and in 2014 real GDP is $9.5 trillion,then real GDP growth from 2013 to 2014 is ________.

Accepted Answer

A)  0.5 percent 
B)  5 percent 
C)  0 percent 
D)  -5 percent 
A)  0.5 percent 
B)  5 percent 
C)  0 percent 
D)  -5 percent

Question 2

Everything else held constant,a decrease in the value of the Canadian dollar relative to all foreign currencies means that the price of foreign goods purchased by Canadians ________.

Accepted Answer

A)  increases 
B)  decreases 
C)  remains unchanged 
D)  increases initially but then decreases 
A)  increases 
B)  decreases 
C)  remains unchanged 
D)  increases initially but then decreases

Question 3

Everything else held constant,Canadians who love French wine benefit most from ________.

Accepted Answer

A)  a decrease in the dollar price of euros 
B)  an increase in the dollar price of euros 
C)  a constant dollar price for euros 
D)  a ban on imports from Europe 
A)  a decrease in the dollar price of euros 
B)  an increase in the dollar price of euros 
C)  a constant dollar price for euros 
D)  a ban on imports from Europe

Question 4

Fluctuations in stock prices ________.

Accepted Answer

A)  increased individuals' willingness to spend 
B)  had no effect on individual spending 
C)  reduced individuals' willingness to spend 
D)  increased individual wealth 
A)  increased individuals' willingness to spend 
B)  had no effect on individual spending 
C)  reduced individuals' willingness to spend 
D)  increased individual wealth

Question 5

A sharp increase in the growth of the money supply is likely followed by ________.

Accepted Answer

A)  a recession 
B)  a depression 
C)  an increase in the inflation rate 
D)  no change in the economy 
A)  a recession 
B)  a depression 
C)  an increase in the inflation rate 
D)  no change in the economy

Question 6

If nominal GDP in 2013 is $10 trillion,and 2013 real GDP in 2002 prices is $9 trillion,the GDP deflator price index is ________.

Accepted Answer

A)  1 
B)  1.1 
C)  11 
D)  100 
A)  1 
B)  1.1 
C)  11 
D)  100

Question 7

A share of common stock is a claim on a corporation's ________.

Accepted Answer

A)  debt 
B)  liabilities 
C)  expenses 
D)  earnings and assets 
A)  debt 
B)  liabilities 
C)  expenses 
D)  earnings and assets

Question 8

If real GDP grows to $9.5 trillion in 2014 from $9 trillion in 2013,the growth rate for real GDP is ________.

Accepted Answer

A)  6 percent 
B)  10 percent 
C)  5 percent 
D)  0.5 percent 
A)  6 percent 
B)  10 percent 
C)  5 percent 
D)  0.5 percent

Question 9

Which of the following are the largest financial intermediaries in the Canadian economy?

Accepted Answer

A)  Insurance companies 
B)  Finance companies 
C)  Banks 
D)  Mutual funds 
A)  Insurance companies 
B)  Finance companies 
C)  Banks 
D)  Mutual funds

Question 10

Describe the relationship between the aggregate price level and the growth rate in money supply.Can the relationship be used to explain inflation?

Accepted Answer

The price level and the money supply gen

Question 11

Evidence from business cycle fluctuations in Canada indicates that ________.

Accepted Answer

A)  a negative relationship between money growth and general economic activity exists 
B)  recessions have been preceded by declines in share prices on the stock exchange 
C)  recessions have been preceded by dollar depreciation 
D)  recessions have been preceded by a decline in the growth rate of money 
A)  a negative relationship between money growth and general economic activity exists 
B)  recessions have been preceded by declines in share prices on the stock exchange 
C)  recessions have been preceded by dollar depreciation 
D)  recessions have been preceded by a decline in the growth rate of money

If real GDP in 2013 is $10 trillion,and in 2014 real GDP is $9.5 trillion,then real GDP growth from 2013 to 2014 is ________.

Everything else held constant,a decrease in the value of the Canadian dollar relative to all foreign currencies means that the price of foreign goods purchased by Canadians ________.

Everything else held constant,Canadians who love French wine benefit most from ________.

Fluctuations in stock prices ________.

A sharp increase in the growth of the money supply is likely followed by ________.

If nominal GDP in 2013 is $10 trillion,and 2013 real GDP in 2002 prices is $9 trillion,the GDP deflator price index is ________.

A share of common stock is a claim on a corporation's ________.

If real GDP grows to $9.5 trillion in 2014 from $9 trillion in 2013,the growth rate for real GDP is ________.

Which of the following are the largest financial intermediaries in the Canadian economy?

Describe the relationship between the aggregate price level and the growth rate in money supply.Can the relationship be used to explain inflation?

Evidence from business cycle fluctuations in Canada indicates that ________.

An Overview of the Financial System

What Is Money

Understanding Interest Rates

The Behaviour of Interest Rates

The Risk and Term Structure of Interest Rates

The Stock Market, the Theory of Rational Expectations, and the Efficient Market Hypothesis

An Economic Analysis of Financial Structure

Financial Crises

Economic Analysis of Financial Regulation

Banking Industry: Structure and Competition

Nonbank Finance

Banking and the Management of Financial Institutions

Risk Management With Financial Derivatives

Central Banks and the Bank of Canada

The Money Supply Process

Tools of Monetary Policy

The Conduct of Monetary Policy: Strategy and Tactics

The Foreign Exchange Market

The International Financial System

Quantity Theory, inflation, and the Demand for Money

The Is Curve

The Monetary Policy and Aggregate Demand Curves

Aggregate Demand and Supply Analysis

Monetary Policy Theory

The Role of Expectations in Monetary Policy

Transmission Mechanisms of Monetary Policy

The ISLM Model

Filters

Exam 1: Why Study Money, banking, and Financial Markets

If real GDP in 2013 is $10 trillion,and in 2014 real GDP is $9.5 trillion,then real GDP growth from 2013 to 2014 is ________.

Everything else held constant,a decrease in the value of the Canadian dollar relative to all foreign currencies means that the price of foreign goods purchased by Canadians ________.

Everything else held constant,Canadians who love French wine benefit most from ________.

Fluctuations in stock prices ________.

A sharp increase in the growth of the money supply is likely followed by ________.

If nominal GDP in 2013 is $10 trillion,and 2013 real GDP in 2002 prices is $9 trillion,the GDP deflator price index is ________.

A share of common stock is a claim on a corporation's ________.

If real GDP grows to $9.5 trillion in 2014 from $9 trillion in 2013,the growth rate for real GDP is ________.

Which of the following are the largest financial intermediaries in the Canadian economy?

Describe the relationship between the aggregate price level and the growth rate in money supply.Can the relationship be used to explain inflation?

Evidence from business cycle fluctuations in Canada indicates that ________.

An Overview of the Financial System

What Is Money

Understanding Interest Rates

The Behaviour of Interest Rates

The Risk and Term Structure of Interest Rates

The Stock Market, the Theory of Rational Expectations, and the Efficient Market Hypothesis

An Economic Analysis of Financial Structure

Financial Crises

Economic Analysis of Financial Regulation

Banking Industry: Structure and Competition

Nonbank Finance

Banking and the Management of Financial Institutions

Risk Management With Financial Derivatives

Central Banks and the Bank of Canada

The Money Supply Process

Tools of Monetary Policy

The Conduct of Monetary Policy: Strategy and Tactics

The Foreign Exchange Market

The International Financial System

Quantity Theory, inflation, and the Demand for Money

The Is Curve

The Monetary Policy and Aggregate Demand Curves

Aggregate Demand and Supply Analysis

Monetary Policy Theory

The Role of Expectations in Monetary Policy

Transmission Mechanisms of Monetary Policy

The ISLM Model

Filters