Macroeconomics > QUESTIONS & ANSWERS > Sophia (Macroeconomics) - Unit 1 Practice Milestone Questions and Answers Graded A (All)

Sophia (Macroeconomics) - Unit 1 Practice Milestone Questions and Answers Graded A

Document Content and Description Below

Sophia (Macroeconomics) - Unit 1 Practice Milestone Questions and Answers Graded A Which statement below about economics is NOT true? ✔✔It only considers the choices that take place on an indi... vidual level. Which of the following is NOT a good reason to study macroeconomics? ✔✔It can help someone understand choices made at the individual level. In the circular flow diagram, which of the following flows from households to firms? ✔✔Money for the purchases of goods and services Which of the following correctly lists the three principal parties in the economy? ✔✔Consumers, businesses and the government Which statement below applies to the expenditure approach when calculating GDP? ✔✔Approach that is typically easier to understand If a gallon of milk was five cents in 1930 and today costs $2.50, prices have increased by which of the following factors? ✔✔50 Which statement below is true about the business cycle? ✔✔Although it experiences periods of expansion and recession, overall the trend is growing. What is the total amount of economic product that a country produces? ✔✔GDP Which statement below is true? ✔✔Monetary policy and fiscal policy can be expansionary. A program that does not require legislative process before it is implemented is a(n) __________. ✔✔automatic stabilizer Which of the following could cause a shift in the demand curve? ✔✔A change in the price of substitutes Assuming income has risen, which income elasticity coefficient description is categorized as a luxury good? ✔✔A house with a score of 3 When a price constraint does not pre-empt equilibrium, it is called a __________. ✔✔non-binding constraint If the demand curve in the graph shown here became perfectly elastic, how would the burden of the tax change? ✔✔Producers would bear all of the burden of the tax. A person who leaves employment and moves to a new state where his skills are marketable to find work is considered __________ unemployment. ✔✔frictional Which statement is true of Short Run Aggregate Supply (SRAS)? ✔✔This represents the amount that an economy can produce at different price levels. If the base currency is 1 and the price currency is 2.3, the exchange rate is which of the following? ✔✔0.43 If one South African rand can purchase one thousand Zimbabwean dollars, we could use this term to describe the rand. ✔✔Base currency This is the record of all monetary transactions that flow across a country's border: ✔✔Balance of payments [Show More]

Last updated: 2 years ago

Preview 1 out of 3 pages

Buy Now

Instant download

We Accept: