Economics MCQs

Page No. 95

If the GNP increases by 8% and prices increase by 3% the actual growth rate is_______________?


a11%

✖


b 5%

✓


c8%

✖


d3%

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View Answer 5%

When the government must pay for fighter planes based on commitments made five years previously the spending the spending is called________________?


adiscretionary

✖


buncontrollable

✓


cbalanced

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dunavoidable

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View Answer uncontrollable

Manipulation of taxation and spending levels is______________?


afiscal policy

✓


bmonetary policy

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cincomes

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drevenue policy

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View Answer fiscal policy

What is the Phillips curve ?


aa reference to a government economist favoring high taxes

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ba special kind of screw driver that reflects the functioning of the economy

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ca graphic representation of conflict between full employment and inflation

✓


da deflationary curve

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Engineers lawyer’s investment bankers’ top CEOs entertainers and so on are described as_____________?


anouveau riches

✖


b generation x-ers

✖


cbaby boomers

✖


dsymbolic analysts

✓


View Answer symbolic analysts

Economic policies do not work as well as they should because of obstacles posed by______________?


atiming

✖


binterpretation

✖


cimplementation

✖


dall of the above

✓


View Answer all of the above

During and after a depression the government can use fiscal policy through its powers of_____________?


aspending and taxation

✓


bwage regulation

✖


cincome ceilings

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dbank regulation

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View Answer spending and taxation

A demand-side theory that focuses on the role of money to finance aggregate demand is termed__________?


amonetarism

✓


bReaganism

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c the gold standard

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dcash and carry

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View Answer monetarism

The Keynesian revolution acknowledged_________________ ?


a that the masses were being exploited

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bthat the market was inherently unstable

✓


c the need for the intervention of the owners of the means of production

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d that industrial workers were becoming the new bourgeoisie

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One of the functions of public policy is to________________?


amediate among conflicting economic goals

✓


bplan to ensure the correct mix of supply and demand

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censure that everyone is a sinner in the economy

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dnone of the above

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