Eco 2020 - Chapter 2 Macro

9 Questions | Total Attempts: 42

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Macroeconomics Quizzes & Trivia

Mr. Karaki questions from study guide for Exam 1 for Macro (Chap 2)


Questions and Answers
  • 1. 
    What is Macroeconomics
    • A. 

      Examines individual decision-making at firms and households and the way they interact in specific industries and markets.

    • B. 

      Examines the workings and problems of the economy; focuses on variables such as GDP growth and unemployment.

    • C. 

      Examines the workings and problems of the economy as a whole; focuses on variables such as GDP growth and unemployment.

    • D. 

      Examines the workings and problems of the economy; such as GDP growth and unemployment

  • 2. 
    • A. 

      Scarcity

    • B. 

      Eat and Drink

    • C. 

      Resources

    • D. 

      Market

    • E. 

      Going to Movies

  • 3. 
    What is Relative Price of Gas?
    • A. 

      The price of gasoline compared to the average price

    • B. 

      The price of gasoline compared to the average price of all other goods

    • C. 

      The price of gasoline compared to the average price of all other goods and services in the economy.

    • D. 

      The price of gasoline compared to the average price of all other goods and services

  • 4. 
    What is Positive Correlation?
    • A. 

      When two variables move at the same direction

    • B. 

      Two variables move at the same direction and as one goes up same does the other

    • C. 

      Two variables move at the same direction and moves up

  • 5. 
    What is negative correlation?
    • A. 

      When two variables move up or down

    • B. 

      When two variables move in different directions, they both move down

    • C. 

      When two variables move in different directions, when one goes down the other goes down

    • D. 

      When two variables move in different directions, when one goes up the other goes down

  • 6. 
    What are Constants? 
    • A. 

      A situation in which an increase in one variable is not associated with any change in another variable

    • B. 

      A situation in which an increase in one variable is associated with any change in another variable

  • 7. 
    What is the difference between correlation and causation?
    • A. 

      Correlation means one events occurs along with another & Causation means one event has to happen for the other to happen. Correlation does not need Causation

    • B. 

      Correlation means one events occurs is one event happens and the one after usually happens because of it & causation needs correlation to happen

    • C. 

      Correlation means one events occurs along with another & Causation means one event has to happen for the other to happen.

    • D. 

      Correlation means one events occurs along with another one usually & Causation means one event has to happen for the other to happen. Correlation does not need Causation

  • 8. 
    What is positive economics?
    • A. 

      A situation in which an increase in one variable is associated with an increase in another variable

    • B. 

      A situation in which an increase in one variable is associated with an increase i

  • 9. 
    What is Normative Economics?
    • A. 

      A situation in which an increase in one variable is associated with a decrease in another variable (also called inversely related).

    • B. 

      A situation in which an increase in two variable is associated with a decrease in another variable (also called inversely related).