Pleaee

1. over the three year period, the united states experienced an increase in the real gdp, low inflation, and a declining unemployment rate. for this period, the united states
a. was in an economic trough
b. was in a stagnant economic period
c. appeared to be entering a recession
d. was in the middle of an economic boom

2. while inflation is a rise in the general level of prices, economic growth is a
a. short period during which the nation's total output of goods and services decreases.
b. short period during which the nation's total output of goods and services increases
c. sustained period during which the nation's total output of good and services decreases
d. sustained period during which the nation's total output of good and services increases

3. the unemployment rate is usually calculated as the number of unemployed individuals
a. divided by the total of people in a society
b. multiplied by the total number of people in a society
c. divided by the total number of people in the labor force
d. multiplied by the total number of people in the labor force

4. which of these would be counted when calculating the gdp of the united states ?
a. selling of goods produced in michigan
b. number of people going to school in idaho
c. amount of loans made to the united states
d. quality of services rendered in the united states

5. which would be the appropriate monetary policy and goal during a period of high inflation?
a. increase interest rates in order to increase the money supply
b. decrease interest rates in order to decrease theoney supply
c. increase interest rates in order to decrease the money supply
d. decrease interest rates in order to increase the money supply

6. a common criticism of gdp as an economic welfare measure is that it excludes
a. the dollar value of net exports
b. the dollar value of happiness levels
c. the dollar value of final goods produced
d. the dollar value of final services produced

7. gdp is a valid method of measuring the value of
a. any goods sold on the open market
b. happiness of a country's citizens
c. final goods and services produced
d. leisure time enjoyed by a country's citizen

8. if consumers increase their purchases of goods and services, then a likely outcome for our economy is
a. rising gdp
b. rising unemployment
c. decreasing factory orders
d. slowing economic growth

9. on the news you hear that business investment has increased from last year to this year. all else equal, the most likely result is
a. higher inflation
b. increased economic growth
c. a general decline in the price level, due to increased productivity
d. the increased capital stock will replace workers, thus increasing unemployment

10. for a market economy to function well, it is most important that laws be passed to protect the right to
a. privacy
b. property
c. free travel
d. political dissent

11. which of these would be an opportunity coat of going to college?
a. the cost of housing and food
b. the cost of books and tuition
c. the degree and the money you will earn
d. the money you could have earned at a job