This Econ 203 Final Questions quiz assesses understanding of macroeconomic concepts such as the natural rate of unemployment, sticky price theory, and impacts of monetary policy changes. It prepares learners for advanced economic studies and real-world applications.
Increase gov. expenditure
Decreasing tax rates
Increasing MS
All of the above
Only A and B
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Lower than desired prices which increases sales
Higher than desired prices which increases sales
Lower than desired prices which decreases sales
Higher than desired prices which decreases sales
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Unmployment rises as the economy moves from A to B
Either fiscal or monetary policy could be used to move the economy from B to A
If the economy is left alone then as the economy moves from B to LR equilibrium the P level would fall farther
All of the above
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A and 1
B and 2
C and 3
None of the above
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6
4
3
2
1/6
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Increase by $40 million and Ms eventually increases by $200 million
Increase by $40 million and Ms eventually increases by $800 million
Decrease by $40 million and Ms eventually decreases by $200 million
Decrease by $40 million and Ms eventually decreases by $800 million
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Raise bank rate, make open market sales
Raise bank rate, make open market purchases
Lower bank rate, make open market purchases
Lower bank rate, make open market sales
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Nominal int. rate = 4% and unempl. = 3%
Nominal int. rate = 5% and unempl. = -1%
Nominal int. rate = 6% and unempl. = 5%
Nominal int. rate = 10% and unempl. = 3%
None of the above
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