Econ Final

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1.  The term frictional unemployment refers to workers
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2.  On the whole, it appears that inside and outside lags for fiscal policy are 
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3.  Assume that a variable input price, such as labor wages, rises. What will be the short-run impact on the market price for firms in a perfectly competitive industry?
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4.  Which of the following best characterizes the official policy of the Federal Reserve regarding asset bubbles, as implemented during the period before the recession that started at the end of 2007? 
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5.  If expansionary monetary policy is used to hold real output above its natural level for several years in a row, the result is likely to be
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6.  Suppose the target reserve ratio for the banking system is 10 percent and deposits are the only form of money. If the central bank supplies $1,000 in new reserves though an open market operation, the money stock will increase by how much after bankds use the new reserves as a basis for additional loans?
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7.  Which of the following best describes a fixed exchange rate target?
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8.  Long-run equilibrium is possible only when
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9.  Which of the following produces an effect that is properly represented by a movement along a given aggregate demand curve?
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10.  The command-and control approach to pollution control can best be described by which statement?
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11.  Which of the following statements is true of MC > ATC?
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12.  Which of the following would lead to a contraction in planned expenditure?
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13.  A firm in a perfectly competitive industry that wants to maximize profits will produce at an output level where:
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14.  If discouraged workers were classified as part of the labor force and unemployed, the unemployment rate would be
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15.  Suppose hot dogs to be an inferior good. An increase in consumer incomes, other things being equal, is likely to cause which of the following?
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16.  It takes 5 labor hours to produce a ton of steel in Japan and 3 labor hours in the United States, and it requires 20 labor hours to produce a car in Japan and only 15 labor hours in the United States. If Japan and the United States were the only two countries involved in trade, we would expect
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17.  Where is the cap-and-trade approach used most extensively for carbon emissions as of 2008? 
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18.  A recession is a 
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19.  Which of the following is true about a simple monopolist in long-run equilibrium?
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20.  Which of the following best describes the policy of the Fed?
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21.  At an output of 100 units, a monopolist's marginal cost is $33, its marginal revenue is $33, its average variable cost is $30, and its average total cost is $38. To maximize profit or minimize loss in the short run, what should the firm do?
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22.  Which of the following is key to increased standards of living in the long run?
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23.  If there is an increase in demand for the product of a perfectly competitive industry
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24.  Which of the following remains constant at all points on a given aggregate demand curve?
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25.  A point representing 500 roast turkey dinners and 600 steak dinners lies outside the production possibilty frontier of Joe's Restaurant, given the factors of production and technology available to it. This means that
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26.  In long-run equilibrium under monopolistic competition, which of the following is true?
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27.  The law of diminishing returns implies that the marginal physical product curve must 
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28.  Which of the following would be most likely to cause the production possibility frontier for education and cars to shift outward?
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29.  If there is an increase in demand in a perfectly competitive industry
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30.  If the equilibrium price of sugar is 15 cents per pound and government imposes a minimum price of 20 cents per pound, the likely result will be
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31.  At the market equilibrium in a perfectly competitive market, consumer surplus is
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32.  Which of the following passes through a point of the long-run equilibrium?
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33.  Faster economic growth necessarily causes
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34.  A limit pricing strategy implies charging a price that is less than the 
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35.  A graph showing the relationship between planned expenditures on final goods and the price level of final goods is called a 
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36.  It is more likely that at least some groups in a country will be hurt by trade
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37.  All banks in a simple banking system have a target reserve ratio of 12.5 percent and deposits are the only form of money. The value of the money multiplier for this simplified banking system is
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38.  Pollution is an example of which of the following?
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39.  When the economy is in a liquidity trap, which of the following is likely to increase fastest?
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40.  As the economy moves up and to the left along the aggreagte demand curve from a short-run equilibrium to a new long-run equilibrium
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41.  A perfectly competitive firm sells its output at $40 per unit. At 100 units of output, it has an average total cost of $40. Marginal cost is equal to average total cost at that point. To maximize profit, what should the firm do?
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42.  Where the marginal cost curve is below the average variable cost curve, 
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43.  Rising marginal cost of production is due primarily to: 
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44.  A situation in which monetary policy loses its effectiveness, interest rates are low, and people accumulate large amounts of cash is called
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45.  Market equilibrium
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46.  An industry in which one firm has a 20 percent share of the market and eight other firms each have a 10 percent share has a Herfindahl index of
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47.  Which of the following is an example of normative economics
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48.  As a percentage of GDP, which of the following is larger in China than in the United States?
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49.  Domestic product minus planned expenditure is equal to
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50.  Which of the following is most likely to increase as a country moves from price stability into a period of demand-side deflation?
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51.  According to the Coase theorem, private negotion will lead to efficient resolution of pollution problems
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52.  Assume that England and Germany both produce wheat and oatmeal with England possessing the absolute advantage in the production of both wheat and oatmeal and the comparative advantage in wheat. We would expect
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53.  Which of the following might cause firms in more concentrated industries to earn higher rates of return, on the average, than firms in less concentrated industries?
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54.  Which of the following would lead to increased market concentration?
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55.  Other things being equal, which of the following would tend to cause the British pound to appreciate?
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56.  Assume an increase in the price of beef increases the demand for pork. Restoration of equilibrium in the pork market will require
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57.  An episode during which real ouput drops below its natural level while unemployment and the price level both rise is best described as
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58.  If total investment exceeds saving, 
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59.  Economic forecasts tend to be most accurate in which of the following cases?
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60.  Because of the multiplier effect, a $100 increase in planned investment tends ot cause an increase of more than $100 in 
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61.  Firms in a competitive industry are said to be price takers because:
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62.  In the United States the interbank loan market where banks borrow reserves from one another is called
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63.  If a marginal physical product curve and an average physical product curve were both drawn on a single diagram, 
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64.  Which of the following describes a special type of expansionary monetary policy that can be used even when nominal interest rates are near the zero interest rate bound?
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65.  Which of the following markets can contain a number of firms producing differentiated products?
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66.  Domestic product equals
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67.  An unexpected increase in the rate of inflation will tend to
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68.  In the absence of trade, world production will tend to be
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