Econ Test Practise

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1.  John just bought shares of stock in IBM for $10,000 and paid a $90 commission to his broker. How did this affect GDP?
A.
B.
C.
D.
2.  An increase in the price of nonlabor inputs
A.
B.
C.
D.
E.
3.  A recession is always part of a
A.
B.
C.
D.
4.  A rise in wage rates
A.
B.
C.
D.
E.
5.  After an adverse supply shock occurs, the  ____________ curve shifts _____________ resulting in a(n) _________________ in the U.S. price level and a(n) ________________ in Real GDP.
A.
B.
C.
D.
6.  An aggregate demand (AD) curve shows the
A.
B.
C.
D.
7. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (3) and blank (4), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
8. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (5) and blank (6), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
9.  The natural rate of unemployment exists at
A.
B.
C.
D.
E.
10. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (7) and blank (8), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
11.  If the SRAS curve intersects the AD curve to the left of Natural Real GDP, the economy is
A.
B.
C.
D.
12.  If consumption increases,
A.
B.
C.
D.
13.  If investment changes because of a change in the price level, then the
A.
B.
C.
D.
E.
14.  Exhibit 7-1   
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
 Refer to Exhibit 7-1. What is the value of  gross domestic product?
A.
B.
C.
D.
E.
15.  The real balance effect is one of the
A.
B.
C.
D.
16. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. Which of the following summations represents disposable income?
A.
B.
C.
D.
17.  As the interest rate rises, the cost of a given investment project __________ and businesses invest __________.
A.
B.
C.
D.
18.  The CPI was 138 in one year and 146 the following year. Approximately how much did prices rise between the two years?
A.
B.
C.
D.
19.  If the price level is constant, but consumption increases, then the real balance effect will
A.
B.
C.
D.
20.  Gross Domestic Product is computed by using
A.
B.
C.
D.
21. 
Durable goods $2,000
Services   4,000
Business purchases of capital goods     200
Fixed investment    600
Exports     600
Imports     800
Nondurable goods     500
Inventory investment                300
Government transfer payments     400
Purchases of new residential housing     400
Government purchases     900
Refer to Exhibit 7-3.  GDP is equal to
A.
B.
C.
D.
E.
22.  If a person is waiting to be called back to a job from which she has been laid off, how is she classified?
A.
B.
C.
D.
23.  Persons who are retired or engaged in own-home housework are considered to be in which of the following categories?
A.
B.
C.
D.
24.  A short-run aggregate supply curve shows the
A.
B.
C.
D.
25.  Which of the following is counted in GDP?
A.
B.
C.
D.
E.
26.  A person in the civilian labor force falls into one of two categories:
A.
B.
C.
D.
27.  Suppose the civilian non-institutional population equals 100,000; the civilian labor force equals 75,000; there are 70,000 employed persons and 5,000 unemployed persons. If 5,000 persons who are currently "not in the labor force" decide to join the civilian labor force, and 3,000 are unemployed, then
A.
B.
C.
D.
28. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. What is the value of  national income?
A.
B.
C.
D.
E.
29. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (9) and blank (10), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
30.  If the CPI is 170 and nominal income is $45,000, approximately what does real income equal?
A.
B.
C.
D.
31.  An increase in labor's productivity will cause the SRAS curve to shift __________ and the price level to __________.
A.
B.
C.
D.
32.  As the price level falls,
A.
B.
C.
D.
E.
33.  If Real GDP is less than Natural Real GDP, the economy is in
A.
B.
C.
D.
34.  A depreciation of the U.S. dollar tends to __________ U.S. net exports and shift the U.S. AD curve to the __________.
A.
B.
C.
D.
35.  In an economy with 100 million people, 70 million hold jobs and 19 million are not working but are looking for jobs. The number counted as unemployed is
A.
B.
C.
D.
E.
36.  An increase in the price level
A.
B.
C.
D.
E.
37.  According to classical economists, the relationship between the amount of funds firms plan to invest and the interest rate is
A.
B.
C.
D.
38.  In order to be classified as unemployed, a person must
A.
B.
C.
D.
39.  Changes in which of the following will not cause the SRAS curve to shift?
A.
B.
C.
D.
E.
40.  You have data for compensation of employees, proprietors' income, rental income, and net interest. Can you compute national income?
A.
B.
C.
D.
E.
41.  Expectation of lower future prices is a
A.
B.
C.
D.
42.  If aggregate quantity supplied is greater than aggregate quantity demanded at a particular price level, then a
A.
B.
C.
D.
E.
43.  In the United States, by far the largest expenditure component in GDP is
A.
B.
C.
D.
E.
44. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. Which of the following summations represents personal income?
A.
B.
C.
D.
45.  If the economy is self-regulating and in an inflationary gap,
A.
B.
C.
D.
E.
46.  Exhibit 7-1   
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. Which of the following summations represents net domestic product?
A.
B.
C.
D.
E.
47.  Underground activities are not counted in GDP because
A.
B.
C.
D.
48.  An increase in the money supply may __________ total expenditures, leading to a __________ shift of the AD curve.
A.
B.
C.
D.
49.  The short-run aggregate supply curve is
A.
B.
C.
D.
50.  Expectation of higher future income is a
A.
B.
C.
D.
51.  A lower income tax rate __________ consumption, causing a __________ the AD curve.
A.
B.
C.
D.
52. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. What is the value of  personal income?
A.
B.
C.
D.
E.
53.  Short-run equilibrium exists
A.
B.
C.
D.
54.  What is the proper sequence of the phases of a business cycle?
A.
B.
C.
D.
E.
55.  Which of the following does GDP omit?
A.
B.
C.
D.
E.
56.  The civilian non-institutional population can be broken down into two groups:
A.
B.
C.
D.
57.  According to Say's law, there can be
A.
B.
C.
D.
58.  If the price level remains constant but the wage rate increases, then there will be __________ in production and the SRAS curve will shift __________.
A.
B.
C.
D.
59.  Disposable income is
A.
B.
C.
D.
E.
60.  If the natural unemployment rate is 5 percent and the current unemployment rate is 6 percent, then the economy is
A.
B.
C.
D.
E.
61.  Smith's income was $50,000 in year 1 and $55,600 in year 2. The CPI was 114 in year 1 and 124 in year 2. What was the approximate percentage change in Smith's real income between the two years?
A.
B.
C.
D.
E.
62.  Exhibit 7-1   
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. Which of the following summations represents GDP using the expenditure approach?
A.
B.
C.
D.
63.  What does annual economic growth refer to?
A.
B.
C.
D.
E.
64.  The best reason economists take only final goods and services into account when calculating GDP is that
A.
B.
C.
D.
65.  Velocity is the average number of times a dollar is spent to buy
A.
B.
C.
D.
66.  Suppose the economy's short-run equilibrium point is to the left of the Natural Real GDP. Which of the following is true?
A.
B.
C.
D.
67.  Personal income is
A.
B.
C.
D.
E.
68. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. What is the value of  net domestic product?
A.
B.
C.
D.
E.
69.  As the interest rate rises, businesses invest __________ and the AD curve shifts to the __________.
A.
B.
C.
D.
70.  Which of the following is not consistent with a self-regulating economy?
A.
B.
C.
D.
E.
71.  The standard definition of "recession" is
A.
B.
C.
D.
72.  "Full employment" is said to exist when the unemployment rate equals
A.
B.
C.
D.
73.  One of the reasons why the AD curve slopes downward is that as the
A.
B.
C.
D.
E.
74.  An appreciation of the U.S. dollar tends to __________ U.S. net exports and shift the U.S. AD curve to the __________.
A.
B.
C.
D.
75.  Suppose consumption increases at each price level. As a result, aggregate demand __________, and the AD curve shifts __________.
A.
B.
C.
D.
76.  An increase in the interest rate __________ purchases of consumer __________.
A.
B.
C.
D.
77.  The interest rate effect is one of the
A.
B.
C.
D.
78.  Suppose there are five goods in the economy, A-E. The current-year quantity of each is 10A, 20B, 30C, 40D, and 50E. Current-year prices are $1 for each unit of A, $2 for each unit of B, $3 for each unit of C, $4 for each unit of D, and $5 for each unit of E. Base-year prices are $1 for each good. Real GDP in the current year equals _________ and GDP equals _________.
A.
B.
C.
D.
E.
79.  "Economic growth" has occurred if the
A.
B.
C.
D.
80. 
Durable goods $2,000
Services   4,000
Business purchases of capital goods     200
Fixed investment    600
Exports     600
Imports     800
Nondurable goods     500
Inventory investment                300
Government transfer payments     400
Purchases of new residential housing     400
Government purchases     900
Refer to Exhibit 7-3.  Consumption is equal to
A.
B.
C.
D.
E.
81.  Which of the following factors can shift the AD curve?
A.
B.
C.
D.
E.
82.  When the economy is at its full employment Real GDP, the unemployment rate is equal to
A.
B.
C.
D.
83.  An increase in the price of oil will cause
A.
B.
C.
D.
E.
84. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (11) and blank (12), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
85.  The employment rate equals the number of
A.
B.
C.
D.
E.
86.  Which of the following is the correct equation for computing personal income?
A.
B.
C.
D.
87.  Greater wealth makes __________ people willing to spend the national income, causing __________ the economy's AD curve.
A.
B.
C.
D.
88.  Real GDP is always measured in
A.
B.
C.
D.
E.
89.  Which of the following is a nonmarket good?
A.
B.
C.
D.
E.
90.  The change in the purchasing power of dollar-denominated assets (such as cash holdings) is the
A.
B.
C.
D.
E.
91.  If the CPI is 100 in the base year and 150 in the current year, how much did prices rise between these two years?
A.
B.
C.
D.
92.  If consumption changes because of a change in a factor other than the price level, then the
A.
B.
C.
D.
E.
93.  Look at the following data: personal income = $4,900 billion; personal taxes = $900 billion; transfer payments = $980 billion. What is disposable income?
A.
B.
C.
D.
E.
94.  An inflationary gap exists when AD and SRAS
A.
B.
C.
D.
95.  The unemployment rate equals the
A.
B.
C.
D.
96.  A plumber who quits his job in San Diego and moves to Orlando where additional plumbers are needed is said to be ___________________ unemployed
A.
B.
C.
D.
97.  If some of a person's wealth is in cash, it follows that
A.
B.
C.
D.
E.
98.  According to the classical theorists, it is impossible to have
A.
B.
C.
D.
E.
99.  Unemployment that arises as a result of the time it takes for unemployed people to locate a job utilizing their transferable skills is called __________ unemployment.
A.
B.
C.
D.
100.  One measure of the inflation rate is the
A.
B.
C.
D.
101.  The civilian non-institutional population consists of everyone in the population who is
A.
B.
C.
D.
E.
102. 
Given Change in Economic Factor Real GDP Price Level
Increase in foreign real national income (1) (2)
Decrease in wage rates (3) (4)
Beneficial supply shock (5) (6)
Decrease in government purchases (7) (8)
Increase in personal income taxes (8) (10)
Decrease in labor productivity (11) (12)
Refer to Exhibit 8-2.  Based on the given change, what word (rises or falls) should go in blank (1) and blank (2), respectively, to summarize the resulting impact on short run equilibrium?
A.
B.
C.
D.
103.  As the price level falls, ceteris paribus, people holding some of their wealth in monetary form become
A.
B.
C.
D.
104.  If Real GDP is greater than Natural Real GDP, the economy is in a(n)
A.
B.
C.
D.
105.  In order to be classified as unemployed, a person must
A.
B.
C.
D.
106.  According to Say's law,
A.
B.
C.
D.
E.
107.  Aggregate demand curves are
A.
B.
C.
D.
108.  As interest rates rise, the  ____________ curve shifts _____________ resulting in a(n) 
A.
B.
C.
D.
109. 
Durable goods $2,000
Services   4,000
Business purchases of capital goods     200
Fixed investment    600
Exports     600
Imports     800
Nondurable goods     500
Inventory investment                300
Government transfer payments     400
Purchases of new residential housing     400
Government purchases     900
Refer to Exhibit 7-3.  Investment is equal to
A.
B.
C.
D.
E.
110.  Which of the following items is a final good?
A.
B.
C.
D.
E.
111. 
Consumption expenditures $ 2,150
Federal government purchases of goods and services 250
State and local government’s purchases 331
Investment 692
Proprietors income 150
Compensation of employees 2,080
Corporate profits 134
Corporate profits taxes 23
Rental income 31
Capital consumption allowance 295
Indirect business taxes 146
Net interest 147
Exports 300
Imports 320
Undistributed corporate profits 111
Transfer payments 66
Personal taxes 45
Dividends                        0
Income Earned from the Rest of the World                     252
Income Earned by the Rest of the World                     667
Social Insurance taxes 222
Statistical discrepancy 5
Refer to Exhibit 7-1. What is the value of  disposable income?
A.
B.
C.
D.
E.
112.  The real balance effect helps to create "a change in
A.
B.
C.
D.
113.  In 2009, the U.S. GDP was approximately
A.
B.
C.
D.
114.  Which of the following would not be included in the calculation of this year's GDP?
A.
B.
C.
D.
115.   If the economy is self-regulating and in a recessionary gap,
A.
B.
C.
D.
E.
116.  If in the process of calculating GDP, the market value of all intermediate goods is added to the market value of all final goods, this would
A.
B.
C.
D.
117.  An economic policy initiative results in the AD curve shifting to the right. As a result,
A.
B.
C.
D.
E.
118.  Look at the following data: GDP = $7,920 billion; investment = $2,100 billion; exports = $300 billion; government purchases = $1,450 billion; consumption = $4,500 billion. What does import spending equal?
A.
B.
C.
D.
E.
119.  If consumption changes because of a change in the price level, then the
A.
B.
C.
D.
E.
120.  Increases in import spending
A.
B.
C.
D.
121.  A decrease in the money supply may __________ total expenditures and thus __________ aggregate demand.
A.
B.
C.
D.
122.  The unemployment due to changes in the types of skills employers require is called __________ unemployment.
A.
B.
C.
D.
123.  A market basket is made up of three goods, 10X, 12Y, and 18Z. The prices in the base year are $1.20, $2.10, and $3.25, respectively. The prices in the current year are $1.44, $2.23, and $3.88. What is the approximate consumer price index in the current year?
A.
B.
C.
D.
E.
124.  The sum of durable goods, nondurable goods, and services equals
A.
B.
C.
D.
E.
125.  In an economy with 100 million people, 70 million hold jobs and 19 million are not working but are looking for jobs. The unemployment rate is
A.
B.
C.
D.
E.
126.  As the price level rises, ceteris paribus, people holding some of their wealth in monetary form become
A.
B.
C.
D.
127.  Which of the following statements is false?
A.
B.
C.
D.
128. 
Durable goods $2,000
Services   4,000
Business purchases of capital goods     200
Fixed investment    600
Exports     600
Imports     800
Nondurable goods     500
Inventory investment                300
Government transfer payments     400
Purchases of new residential housing     400
Government purchases     900
  111.   Refer to Exhibit 7-3.  Net exports is equal to
A.
B.
C.
D.
E.
129.  Persons who are retired or engaged in own-home housework are considered to be in which of the following categories?
A.
B.
C.
D.
130.  The real balance effect describes the change in
A.
B.
C.
D.
E.
131.  A decrease in the price level
A.
B.
C.
D.
E.
132.  Which of the following would not be included in the measurement of GDP?
A.
B.
C.
D.
E.
133.  Which of the following illustrates double counting?
A.
B.
C.
D.
E.
134.  Juan lost his job as a nuclear physicist working for a defense contractor.  He can not find a job because no firms in the defense industry or any other industry are hiring people with his skills.  Juan is ______________ unemployed.
A.
B.
C.
D.
135.  Suppose there are 50 million people in the population, 25 million people in the civilian labor force, and 20 million people are employed.  The number of people unemployed is _______ million and the unemployment rate is ___________ percent.
A.
B.
C.
D.
136.  Suppose the real exchange rate of 115 Japanese yen to the dollar moves to 105 yen to the dollar. The dollar has __________, making Japanese goods __________ expensive for Americans.
A.
B.
C.
D.
137.  If Real GDP was $8,742 billion in year 2 and it had been $8,509 billion in year 1, what was the approximate economic growth rate during this time period?
A.
B.
C.
D.
138.  Suppose that C = $700, I = $200, G = $200, NX = $100, and that the money supply is equal to $400.  Based upon these assumptions, velocity is equal to ________________.  If consumption and velocity both rise beyond their initial levels, then it follows that another component of spending ___________ necessarily fall.
A.
B.
C.
D.
139.  Suppose the market basket consists of 10X, 20Y, and 30Z. Current-year prices are $1.20 for each unit of X, $0.96 for each unit of Y, and $1.30 for each unit of Z. Base-year prices are $1.00 for each unit of X, Y, and Z. What is the approximate CPI in the current year?
A.
B.
C.
D.
140.  If there are 10 job losers, 12 job leavers, 13 reentrants, and 12 new entrants, then there are __________ unemployed persons.
A.
B.
C.
D.
E.
141.  Say's law says
A.
B.
C.
D.
E.
142.  Suppose consumption decreases at each price level. As a result, aggregate demand __________, and the AD curve shifts __________.
A.
B.
C.
D.
143.  An increase in labor productivity shifts the
A.
B.
C.
D.
E.
144.  If investment changes because of a change in a factor other than the price level, then the
A.
B.
C.
D.
145.  Which of the following would definitely not be included in the measurement of GDP?
A.
B.
C.
D.
146.  If the economy is in a recessionary gap,
A.
B.
C.
D.
E.
147.  Suppose the real exchange rate of 10 Mexican pesos to the dollar moves to 9 pesos to the dollar. The dollar has ________________, making Mexican goods __________ expensive for Americans.
A.
B.
C.
D.
148.  A decrease in the price of electricity will cause
A.
B.
C.
D.
E.
149.  Suppose there are 200 million people in the population, 120 million people in the civilian labor force, and 90 million people are employed.  The number of people unemployed is _______ million and the unemployment rate is ___________ percent.
A.
B.
C.
D.
150.  Suppose a drop in stock prices makes people feel less wealthy. This would cause __________ the economy's AD curve.
A.
B.
C.
D.
151.  A falling interest rate affects the demand for consumer __________ and shifts AD to the __________.
A.
B.
C.
D.
152.  In the definition of GDP, the words "total market value" refer to total
A.
B.
C.
D.
153.  Part of the story of the interest rate effect is that a lower price level causes __________ in the supply of credit, which then causes the interest rate to __________.
A.
B.
C.
D.
154.  If a person did at least one hour of work as a paid employee during the survey week, how is she classified?
A.
B.
C.
D.
155.  Suppose the price level is rising and it is widely forecast to rise even further. This forecast might cause __________ of some consumption plans, resulting in __________ the AD curve.
A.
B.
C.
D.
156.  Gross Domestic Product (GDP) is the total market value of all
A.
B.
C.
D.
157.  The cyclical unemployment rate is defined as the __________ unemployment rates.
A.
B.
C.
D.
158.  According to classical economists, the relationship between the amount of funds households plan to save and the interest rate is
A.
B.
C.
D.
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