Archives: Quiz
Economics Chapter 18d 1 Terms Aggregate Supply Period Which Nominal Wages And Other Resource Prices Are
Chapter 18 – Extending the Analysis of Aggregate Supply 1. In terms of aggregate supply, a period in which nominal wages and other resource prices are unresponsive to price-level changes is called the: A. long run. B. short run. C. […]
Economics Chapter 18d 1 The Short Run The Price Level Assumed Be Fixed Along With Input
Chapter 18 – Extending the Analysis of Aggregate Supply 1. In the short run, the price level is assumed to be: A. Fixed, along with input prices B. Flexible, but input prices are not C. Flexible, along with input prices […]
Economics Chapter 17d 4 Refer The Graph Above Which The Following Would Best Explained Expansionary
Chapter 17 – Financial Economics 154. Refer to the graph above. Which of the following would best be explained by an expansionary monetary policy? A. A shift from SML1 to SML2 B. A shift from SML2 to SML1 C. A […]
Economics Chapter 17d 3 For Any Given Financial Asset Risk Levels And Average Expected Rates
Chapter 17 – Financial Economics 120. For any given financial asset, risk levels and average expected rates of return are: A. independent of each other. B. negatively related because assets with higher average expected rates of return sell for higher […]
Economics Chapter 17d 3 The Federal Reserve Uses Open market Operations Lower The Interest Rates Short
Chapter 17 – Financial Economics 90. If the Federal Reserve uses open-market operations to lower the interest rates on short- term U.S. government bonds, then as a consequence asset prices: A. Increase, and the average expected rate of return on […]
Economics Chapter 17d 2 Karen Holds 100 Bond That Pays 10 Per Year Interest The
Chapter 17 – Financial Economics 60. Karen holds a $100 bond that pays $10 per year in interest. The minimum price Karen would have to be offered before she would sell the bond: A. is $110. B. is $125. C. […]
Economics Chapter 17d 1 What Are The Two Most Important Factors Influencing Investor Preferences The Desire
Chapter 17 – Financial Economics 1. What are the two most important factors influencing investor preferences? A. The desire for high rates of return and the thrill of uncertainty. B. The desire for high rates of return and dislike of […]
Economics Chapter 17d 1 Economic Investment Refers To Buying Asset For Financial Gain Selling Asset For
Chapter 17 – Financial Economics 1. Economic investment refers to: A. Buying an asset for a financial gain B. Selling an asset for a financial gain C. Postponing purchases of goods and services D. Making new additions to the nation’s […]
Economics Chapter 17d 2 Risk Finance Means Mostly Positive Outcomes Mostly Negative Outcomes Either Positive
Chapter 17 – Financial Economics 58. Risk in finance means: A. Mostly positive outcomes B. Mostly negative outcomes C. Either positive or negative outcomes D. The same thing as risk in health science AACSB: Analytic Bloom’s: Level 1 Remember Difficulty: […]
Economics Chapter 16d 5 The Latter End 2001 The Fed Cut The Federal Funds Rate
Chapter 16 – Interest Rates and Monetary Policy 201. In the latter end of 2001 the Fed cut the Federal funds rate several times. The Fed’s purpose was to: A. prevent rising inflation. B. stop a banking crisis. C. stimulate […]
Economics Chapter 16d 4 According The Taylor Rule For Every Percentage Point That Unemployment Exceeds
Chapter 16 – Interest Rates and Monetary Policy 159. According to the Taylor rule: A. for every 1 percentage point that unemployment exceeds the natural rate of unemployment, there is a 2 percentage point gap between potential and actual GDP. […]
Economics Chapter 16d 3 Commercial Bank Can Add Its Actual Reserves By Lending Money Bank
Chapter 16 – Interest Rates and Monetary Policy 103. A commercial bank can add to its actual reserves by: A. lending money to bank customers. B. buying government securities from the public. C. buying government securities from a Federal Reserve […]
Economics Chapter 16d 2 The Securities Held Assets The Federal Reserve Banks Consist Mainly Of
Chapter 16 – Interest Rates and Monetary Policy 53. The securities held as assets by the Federal Reserve Banks consist mainly of: A. corporate bonds. B. Treasury bills and Treasury bonds. C. common stock. D. certificates of deposit. AACSB: Analytic […]
Economics Chapter 16d 1 The Transactions Demand For Money Most Closely Related Money Functioning Unit Account
Chapter 16 – Interest Rates and Monetary Policy 1. The transactions demand for money is most closely related to money functioning as a: A. unit of account. B. medium of exchange. C. store of value. D. measure of value. AACSB: […]
Economics Chapter 16d 3 Refer The Above Graphs Which The Numbers Parentheses Near The Ad1
Chapter 16 – Interest Rates and Monetary Policy 105. Refer to the above graphs, in which the numbers in parentheses near the AD1, AD2, and AD3 labels indicate the level of investment spending associated with each curve, respectively. All numbers […]
Economics Chapter 16d 2 The Fundamental Objective Monetary Policy Assist The Economy Achieving Rapid Pace
Chapter 16 – Interest Rates and Monetary Policy 51. The fundamental objective of monetary policy is to assist the economy in achieving: A. A rapid pace of economic growth B. A money supply which is based on the gold standard […]
Economics Chapter 16d 4 Interesting Development That Happened Late 2008 Relating The Fed And Bank
Chapter 16 – Interest Rates and Monetary Policy 139. An interesting development that happened in late 2008, relating to the Fed and bank reserves, is that the Fed: A. Reduced the reserve ratio drastically B. Required banks to hold more […]
Economics Chapter 16d 1 Consumer Holds Money Meet Spending Needs This Would Example The Use Money
Chapter 16 – Interest Rates and Monetary Policy 1. A consumer holds money to meet spending needs. This would be an example of the: A. Use of money as a measure of value B. Use of money as legal tender […]
Economics Chapter 15d 3 Refer The Above Table When The Legal Reserve Ratio Percent The
Chapter 15 – Money Creation 87. Refer to the above table. When the legal reserve ratio is 20 percent, the money creating potential of the entire banking system is: A. $4,000. B. $6,000. C. $8,000. D. $10,000. AACSB: Analytic Bloom’s: […]
Economics Chapter 15d 2 Refer The Above Data Suppose That This Bank Currently Has Million
Chapter 15 – Money Creation 55. Refer to the above data. Suppose that this bank currently has $6 million in excess reserves and that customers of this bank collectively write checks for cash at the bank in the amount of […]
Economics Chapter 15d 1 The Goldsmiths Ability Create Money Was Based The Fact That Withdrawals Gold
Chapter 15 – Money Creation 1. The goldsmith’s ability to create money was based on the fact that: A. withdrawals of gold tended to exceed deposits of gold in any given time period. B. consumers and merchants preferred to use […]
Economics Chapter 15d 3 Suppose Commercial Banking System Has 240000 Outstanding Checkable Deposits And Actual
Chapter 15 – Money Creation 92. Suppose a commercial banking system has $240,000 of outstanding checkable deposits and actual reserves of $85,000. If the reserve ratio is 25 percent, the banking system can expand the supply of money by a […]
Economics Chapter 15d 2 The Relative Importance Various Asset Items Commercial Banks Balance Sheet Reflects
Chapter 15 – Money Creation 58. The relative importance of various asset items on a commercial bank’s balance sheet reflects a bank’s pursuit of which two conflicting goals? A. Profits and risk B. Liquidity and profits C. Assets and liabilities […]
Economics Chapter 15d 1 The Fractional Reserve System Banking Started When Goldsmiths Began Accepting Deposits Gold
Chapter 15 – Money Creation 1. The fractional reserve system of banking started when goldsmiths began: A. Accepting deposits of gold for safe storage B. Charging people who deposited their gold C. Using deposited gold to produce products for sale […]
Economics Chapter 14d 3 Some Economists Are Concerned That The Financial Rescue Provided The Tarp
Chapter 14 – Money, Banking, and Financial Institutions 98. Some economists are concerned that the financial rescue provided by the TARP will encourage financial investors and firms to take on greater risks in the future. This is an example of: […]
Economics Chapter 14d 2 The Purchasing Power The Dollar Has Been Increasing Recent Years Because
Chapter 14 – Money, Banking, and Financial Institutions 58. The purchasing power of the dollar: A. has been increasing in recent years because of economic growth. B. varies directly with the cost-of-living index. C. is inversely related to the level […]
Economics Chapter 14d 1 Say Money Socially Defined Means That Money Has Been Defined Constitutional Amendment
Chapter 14 – Money, Banking, and Financial Institutions 1. To say money is socially defined means that: A. money has been defined in a Constitutional amendment. B. whatever performs the functions of money extremely well is considered to be money. […]
Economics Chapter 14d 2 The Federal Reserve System Consists Which The Following Federal Open Market
Chapter 14 – Money, Banking, and Financial Institutions 57. The Federal Reserve System consists of which of the following? A. Federal Open Market Committee and Office of Thrift Supervision B. Federal Deposit Insurance Corporation and Controller of the Currency C. […]
Economics Chapter 14d 1 The Functions Money Are Serve Resource Allocator Method For Accounting And Means
Chapter 14 – Money, Banking, and Financial Institutions 1. The functions of money are to serve as a: A. Resource allocator, method for accounting, and means of income distribution B. Unit of account, store of value, and medium of exchange […]
Economics Chapter 14d 3 During The Financial Crisis 2007 2008 Goldman Sachs Morgan Stanley And Other
Chapter 14 – Money, Banking, and Financial Institutions 93. During the Financial Crisis of 2007-2008, Goldman Sachs, Morgan Stanley, and other financial firms with heavy exposure to the mortgage-related problems rushed to become bank holding companies in order to: A. […]
Economics Chapter 13d 2 The Above Diagram Assumed That Investment Net Exports And Government Purchases
Chapter 13 – Fiscal Policy, Deficits, and Debt 50. In the above diagram it is assumed that investment, net exports, and government purchases: A. are leakages from the circular flow. B. are independent of the level of GDP. C. vary […]
Economics Chapter 13d 4 Other Things Equal Increase Treasury Bonds From 100 Billion 120 Billion
Chapter 13 – Fiscal Policy, Deficits, and Debt 140. Other things equal, an increase of Treasury bonds from $100 billion to $120 billion in the above economy would: A. not change the size of the public debt. B. increase the […]
Economics Chapter 13d 3 Refer The Above Diagram Assume That And Are The Relevant Curves
Chapter 13 – Fiscal Policy, Deficits, and Debt 94. Refer to the above diagram. Assume that G and T1 are the relevant curves, the economy is currently at A, and the full-employment GDP is B. This economy has a(n): A. […]
Economics Chapter 13d 4 Until 2008 Social Security Revenues Exceeded Payouts And The Excess Inflow
Chapter 13 – Fiscal Policy, Deficits, and Debt 141. Up until 2008, Social Security revenues exceeded payouts, and the excess inflow was used to buy: A. Public lands B. Gold certificates C. Foreign securities D. Treasury securities AACSB: Analytic Bloom’s: […]
Economics Chapter 13d 3 The Us Federal Debt Held Foreigners 2009 China Held Roughly 90
Chapter 13 – Fiscal Policy, Deficits, and Debt 111. Of the U.S. Federal debt held by foreigners in 2009, China held roughly: A. 90% B. 75% C. 50% D. 25% AACSB: Analytic Bloom’s: Level 1 Remember Difficulty: 2 Medium Learning […]
Economics Chapter 13d 1 The Group Three Economists Appointed The President Provide Fiscal Policy Recommendations The
Chapter 13 – Fiscal Policy, Deficits, and Debt 1. The group of three economists appointed by the President to provide fiscal policy recommendations is the: A. Council of Economic Advisers. B. Joint Economic Committee. C. Bureau of Economic Analysis. D. […]
Economics Chapter 13d 2 The Cyclically adjusted Budget Shows Deficit About 100 Billion And The Actual
Chapter 13 – Fiscal Policy, Deficits, and Debt 55. If the cyclically-adjusted budget shows a deficit of about $100 billion and the actual budget shows a deficit of about $150 billion, it can be concluded that there is: A. Built-in […]
Economics Chapter 13d 1 When The Federal Government Uses Taxation And Spending Actions Stimulate The Economy
Chapter 13 – Fiscal Policy, Deficits, and Debt 1. When the Federal government uses taxation and spending actions to stimulate the economy it is conducting: A. Fiscal policy B. Incomes policy C. Monetary policy D. Employment policy AACSB: Analytic Bloom’s: […]
Economics Chapter 12d 3 Which The Above Diagrams Best Portrays Improvement Expected Rates Return Investment
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 106. Which of the above diagrams best portrays an improvement in expected rates of return on investment? A. A B. B C. C D. D AACSB: Reflective Thinking Bloom’s: Level […]
Economics Chapter 12d 2 Other Things Equal Appreciation The Dollar Increases Aggregate Demand The United
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 56. Other things equal, appreciation of the dollar: A. increases aggregate demand in the United States and may increase aggregate supply by reducing the prices of imported resources. B. increases […]
Economics Chapter 12d 4 Consider This The Ratchet Effect The Tendency Of The Price Level
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 135. (Consider This) The ratchet effect is the tendency of: A. the price level to increase but not to decrease. B. nominal GDP to increase more rapidly than real GDP. […]
Economics Chapter 12d 3 Refer The Above Table The Quantity Real Domestic Output Demanded Decreased
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 101. Refer to the above table. If the quantity of real domestic output demanded decreased by $500 and the quantity of real domestic output supplied increased by $500 at each […]
Economics Chapter 12d 1 The Aggregate Demand Curve Upsloping Because Higher Price Level Necessary Make Production
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 1. The aggregate demand curve: A. is upsloping because a higher price level is necessary to make production profitable as production costs rise. B. is downsloping because production costs decline […]
Economics Chapter 12d 2 The Version Aggregate Supply That Allows For Changes Both Product Prices
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 55. The version of aggregate supply that allows for changes in both product prices and resource prices is the: A. Immediate short-run B. Short run C. Immediate long-run D. Long […]
Economics Chapter 12d 1 The Aggregate Demand Curve Shows The Inverse Relationship Between The Price Level
Chapter 12 – Aggregate Demand and Aggregate Supply (+ Appendix) 1. The aggregate demand curve shows the: A. Inverse relationship between the price level and real GDP purchased B. Direct relationship between the price level and real GDP produced C. […]
Economics Chapter 11d 5 Refer The Above Table The After tax MPS Shown Is
Chapter 11 – The Aggregate Expenditures Model 189. Refer to the above table. The after-tax MPS shown is: A. .1. B. .2. C. .33. D. .4. AACSB: Analytic Bloom’s: Level 3 Apply Difficulty: 2 Medium Learning Objective: 11-01 Illustrate how […]
Economics Chapter 11d 4 Refer The Above Information The Equilibrium Level Gdp For This Economy
Chapter 11 – The Aggregate Expenditures Model (Advanced analysis) Answer the question on the basis of the following information for a mixed open economy. The letters Y, Ca, Ig, Xn, G, and T stand for GDP, consumption, gross investment, net […]
Economics Chapter 11d 3 The Aggregate Expenditures Model Complete The Following Table And Answer The
Chapter 11 – The Aggregate Expenditures Model Complete the following table and answer the question on the basis of the resulting data. All figures are in billions of dollars. 96. If the above economy was closed to international trade, the […]
Economics Chapter 11d 2 Actual Investment 62 Billion Equilibrium Output Level 620 Billion Private Closed
Chapter 11 – The Aggregate Expenditures Model 49. Actual investment is $62 billion at an equilibrium output level of $620 billion in a private closed economy. The average propensity to save at this level of output is: A. 0.10. B. […]
Economics Chapter 11d 1 John Maynard Keynes Created The Aggregate Expenditures Model Based Primarily What Historical
Chapter 11 – The Aggregate Expenditures Model 1. John Maynard Keynes created the aggregate expenditures model based primarily on what historical event? A. Bank panic of 1907 B. Great Depression C. Spectacular economic growth during World War II D. Economic […]