7. Question 7 If we observe that the economy of a developed country has a deficit during a recessionary gap, of which of the following conclusions can we be CERTAIN?…
4. Question 4 The correct formula for the multiplier is: (where ‘∆’ stands for change) 1 point 1/(1-MPS) ∆C/∆Y ∆S/∆Y 1/(1-MPC)
2. Question 2 Which of the following measures would have NO impact on aggregate demand? 1 point Raising consumption taxes Raising interest rates Raising government spending …
7. Question 7 If you were asked to choose a pair of effects that would have the greatest contractive/restrictive effect on the economy, which would you choose? 1 point …
5. Question 5 The most important difference between real and nominal GDP is 1 point That real GDP includes C+I+G+(X-M), while nominal GDP includes other elements of aggregate demand…
Question 3 Which of the following will cause the aggregate demand (AD) curve to shift outward to the right? 1 point A new, higher tax on company profits …
6. Question 6 The ideal rate of growth for an economy is 1 point A rate of growth that is roughly equivalent to the sum of productivity growth plus…
3. Question 3 Where on the reference globe will there be the most distortion? 1 point at the Equator there is no distortion on the reference globe …
5. Question 5 Consider a World map that includes a Tissot’s Indicatrix, and that and in the image of a Tissot circle below are local longitudinal and latitudinal scale factors,…
4. Question 4 Indicate which route from New York to London is the longest: 1 point A is the longest path B is the longest path C…
