Question 1

Which of the following is the best measure of the actual quantity of goods and services produced by an economy?

Accepted Answer

A)  Nominal GDP. 
B)  Real GDP. 
C)  Real GDP per capita. 
D)  GDP per worker. 
A)  Nominal GDP. 
B)  Real GDP. 
C)  Real GDP per capita. 
D)  GDP per worker.

Question 2

Which of the following government policies will shift aggregate supply to the right?

Accepted Answer

A)  Setting immigration preferences based on potential productivity. 
B)  Increasing transfer payments to the unemployed. 
C)  Eliminating government-funded training programs for the structurally unemployed. 
D)  Eliminating job-search assistance. 
A)  Setting immigration preferences based on potential productivity. 
B)  Increasing transfer payments to the unemployed. 
C)  Eliminating government-funded training programs for the structurally unemployed. 
D)  Eliminating job-search assistance.

Question 3

Long-run economic growth is consistent with:

Accepted Answer

A)  Expanding the aggregate demand curve. 
B)  Expanding the production possibilities curve. 
C)  An increase in government spending. 
D)  An increase in GDP per capita. 
A)  Expanding the aggregate demand curve. 
B)  Expanding the production possibilities curve. 
C)  An increase in government spending. 
D)  An increase in GDP per capita.

Question 4

Nominal GDP is the total value of goods and services produced within a nation's borders measured in current prices.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following statements about long-run economic growth is true?

Accepted Answer

A)  Growth is compounded from one year to the next. 
B)  Growth is always occurring for rich countries. 
C)  Growth this year does not impact growth next year. 
D)  Poor countries are incapable of growth. 
A)  Growth is compounded from one year to the next. 
B)  Growth is always occurring for rich countries. 
C)  Growth this year does not impact growth next year. 
D)  Poor countries are incapable of growth.

Question 6

Which of the following is the best measure of living standards for an economy?

Accepted Answer

A)  GDP per worker. 
B)  Nominal GDP. 
C)  GDP per capita. 
D)  Population growth. 
A)  GDP per worker. 
B)  Nominal GDP. 
C)  GDP per capita. 
D)  Population growth.

Question 7

Education,training,and immigration policies have their principal impact on aggregate supply.

Accepted Answer

A) True 
 B)False

Question 8

If the total output for an economy is equal to $840 billion and the total number of labor hours is 24 billion,then labor productivity is equal to:

Accepted Answer

A)  $201.60 per hour. 
B)  $35.00 per hour. 
C)  $24.00 per hour. 
D)  $18.00 per hour. 
A)  $201.60 per hour. 
B)  $35.00 per hour. 
C)  $24.00 per hour. 
D)  $18.00 per hour.

Question 9

Small differences in annual growth rates accumulate into:

Accepted Answer

A)  Small differences in GDP. 
B)  Large differences in GDP. 
C)  A leftward shift of the aggregate demand curve. 
D)  An increase in population. 
A)  Small differences in GDP. 
B)  Large differences in GDP. 
C)  A leftward shift of the aggregate demand curve. 
D)  An increase in population.

Question 10

Over the last decade,the world has experienced:

Accepted Answer

A)  Decreased living standards in some of the poorest countries. 
B)  Increased living standards in all countries. 
C)  Growth in output for all countries. 
D)  Improvements in technology but little change in output. 
A)  Decreased living standards in some of the poorest countries. 
B)  Increased living standards in all countries. 
C)  Growth in output for all countries. 
D)  Improvements in technology but little change in output.

Question 11

Most people who make minimum-wages are in favor of increases in the minimum-wage.How would you explain to them that this may not be the best thing for the economy?

Accepted Answer

The goal of the minimum-wage law is to e

Question 12

In the long run,research and development is credited with the greatest contributions to economic growth.

Accepted Answer

A) True 
 B)False

Question 13

If GDP was $7,300 billion in 2006 and the population was 200 million,then GDP per capita was approximately:

Accepted Answer

A)  $27,397. 
B)  $36,500. 
C)  $54,621. 
D)  $71,000. 
A)  $27,397. 
B)  $36,500. 
C)  $54,621. 
D)  $71,000.

Question 14

Which of the following does not contribute to an increase in productivity?

Accepted Answer

A)  Research and development. 
B)  Income transfers. 
C)  Capital investment. 
D)  Improvements in the quality of labor. 
A)  Research and development. 
B)  Income transfers. 
C)  Capital investment. 
D)  Improvements in the quality of labor.

Question 15

Increased capital investment is possible only if saving is reduced or consumption increases.

Accepted Answer

A) True 
 B)False

Question 16

GDP per capita is the best measurement for:

Accepted Answer

A)  Determining the distribution of output within a country. 
B)  Determining the growth rate of the economy over time. 
C)  Finding the impact of population on GDP. 
D)  Comparing living standards between countries. 
A)  Determining the distribution of output within a country. 
B)  Determining the growth rate of the economy over time. 
C)  Finding the impact of population on GDP. 
D)  Comparing living standards between countries.

Question 17

The alternative combinations of goods and services that could be produced with all available resources and technology is the:

Accepted Answer

A)  GDP per capita. 
B)  Real GDP. 
C)  Aggregate supply curve. 
D)  Production possibilities. 
A)  GDP per capita. 
B)  Real GDP. 
C)  Aggregate supply curve. 
D)  Production possibilities.

Question 18

When corporate managers reduce investment spending,long-run profitability is likely to increase.

Accepted Answer

A) True 
 B)False

Question 19

In order to maximize the potential of workers,managers should:

Accepted Answer

A)  Watch workers closely so they don't become lazy. 
B)  Offer incentives to workers. 
C)  Require a certain level of productivity from each worker. 
D)  Limit coffee breaks and shorten lunch hours. 
A)  Watch workers closely so they don't become lazy. 
B)  Offer incentives to workers. 
C)  Require a certain level of productivity from each worker. 
D)  Limit coffee breaks and shorten lunch hours.

Question 20

One News Wire article is titled "What Economic Growth Has Done for U.S.Families." Living standards can best be measured using:

Accepted Answer

A)  GDP per capita. 
B)  The growth rate of GDP. 
C)  Nominal GDP. 
D)  The employment rate. 
A)  GDP per capita. 
B)  The growth rate of GDP. 
C)  Nominal GDP. 
D)  The employment rate.

Which of the following is the best measure of the actual quantity of goods and services produced by an economy?

Which of the following government policies will shift aggregate supply to the right?

Long-run economic growth is consistent with:

Nominal GDP is the total value of goods and services produced within a nation's borders measured in current prices.

Which of the following statements about long-run economic growth is true?

Which of the following is the best measure of living standards for an economy?

Education,training,and immigration policies have their principal impact on aggregate supply.

If the total output for an economy is equal to $840 billion and the total number of labor hours is 24 billion,then labor productivity is equal to:

Small differences in annual growth rates accumulate into:

Over the last decade,the world has experienced:

Most people who make minimum-wages are in favor of increases in the minimum-wage.How would you explain to them that this may not be the best thing for the economy?

In the long run,research and development is credited with the greatest contributions to economic growth.

If GDP was $7,300 billion in 2006 and the population was 200 million,then GDP per capita was approximately:

Which of the following does not contribute to an increase in productivity?

Increased capital investment is possible only if saving is reduced or consumption increases.

GDP per capita is the best measurement for:

The alternative combinations of goods and services that could be produced with all available resources and technology is the:

When corporate managers reduce investment spending,long-run profitability is likely to increase.

In order to maximize the potential of workers,managers should:

One News Wire article is titled "What Economic Growth Has Done for U.S.Families." Living standards can best be measured using:

The Challenge of Economics

The US Economy

Supply and Demand

Consumer Demand

Supply Decisions

Competition

Monopoly

The Labor Market

Government Intervention

The Business Cycle

Aggregate Supply and Demand

Fiscal Policy

Money and Banks

Monetary Policy

Theory and Reality

International Trade

Filters

Exam 15: Economic Growth

Which of the following is the best measure of the actual quantity of goods and services produced by an economy?

Which of the following government policies will shift aggregate supply to the right?

Long-run economic growth is consistent with:

Nominal GDP is the total value of goods and services produced within a nation's borders measured in current prices.

Which of the following statements about long-run economic growth is true?

Which of the following is the best measure of living standards for an economy?

Education,training,and immigration policies have their principal impact on aggregate supply.

If the total output for an economy is equal to $840 billion and the total number of labor hours is 24 billion,then labor productivity is equal to:

Small differences in annual growth rates accumulate into:

Over the last decade,the world has experienced:

Most people who make minimum-wages are in favor of increases in the minimum-wage.How would you explain to them that this may not be the best thing for the economy?

In the long run,research and development is credited with the greatest contributions to economic growth.

If GDP was $7,300 billion in 2006 and the population was 200 million,then GDP per capita was approximately:

Which of the following does not contribute to an increase in productivity?

Increased capital investment is possible only if saving is reduced or consumption increases.

GDP per capita is the best measurement for:

The alternative combinations of goods and services that could be produced with all available resources and technology is the:

When corporate managers reduce investment spending,long-run profitability is likely to increase.

In order to maximize the potential of workers,managers should:

One News Wire article is titled "What Economic Growth Has Done for U.S.Families." Living standards can best be measured using:

The Challenge of Economics

The US Economy

Supply and Demand

Consumer Demand

Supply Decisions

Competition

Monopoly

The Labor Market

Government Intervention

The Business Cycle

Aggregate Supply and Demand

Fiscal Policy

Money and Banks

Monetary Policy

Theory and Reality

International Trade

Filters