Exam 10: Economic Growth, the Financial System, and Business Cycles

According to Robert Fogel,economic growth ________ health,and health ________ economic growth.

The U.S.economy experienced a period of relative stability from 1950-2007.

Suppose that real GDP for 2017 was $10,000 billion and real GDP for 2018 was $9,500 billion.What is the rate of growth of real GDP between 2017 and 2018?

When production in an economy grows more quickly than the population in that economy,which of the following must be occurring?

Which of the following goods would see the largest decline in demand during a recession?

According to the "Rule of 70," it will take 4 years for real GDP per capita to double when the growth rate of real GDP per capita is

The effect of a recession on a company like General Motors Corporation is such that

The economic effects of a recession are likely to have the smallest impact on the sales of which of the following businesses?

Explain how unemployment changes over the business cycle.Why do these changes occur?

Private saving is defined as

Under which of the following circumstances would private saving be positive in a closed economy?

In a closed economy,public saving plus private saving is equal to

According to the National Bureau of Economic Research,the United States has experienced ________ recessions since 1950.

Explain why increasing the government budget deficit can decrease investment spending.

The rule of 70 states that

Public saving in the economy can be increased by

Suppose you are an advisor to the Business Cycle Dating Committee.You are asked to look at macroeconomic data to evaluate whether the economy has entered a recession this year.Which data do you look at? How does the economy behave at the onset of a recession?

Because ________ in the government budget deficit increase the real interest rate,budget deficits can ________ firm investment.

An increase in the real interest rate does which of the following?

A decrease in the real interest rate will