macroeconomics mid term
suppose that a customers willingness to pay for a product is 5 and the sellers willingness to sell is 4. if the negotiated price is 3 how much is consumer surplus
$2
Jackie finds a pair of jeans that she likes but the price tag is missing. she is willing to buy it as long as it's not more than 100.
$28 the difference between what she was willing to pay and the price
If the price index is 200, how much did a 12 pizza (today) cost in the base year?
$6.00
The BEA Would report first quarter of 2017 GDP growth as _________ using the year over year method and______ using the anualized method
10%; 16%
Suppose a market basket of good cost 10,000 in 2009
112.0
Jason purchased a new printer for 150 he was willing to pay 175. the mininum price acceptable is 145.
25 and a producer surplus of 5
simon kuznets
Devised the gross national product as a way of measuring nations econmic output
if a countrys population increases at a slower rate than the growth in its real GDP;
GDP per capita has increased
which headline would be LEAST likely to be studied in macroeconomics?
GM expands car sales in china
Which of the following persons is considered part of the labor force?
Joe, a senior in high school who works part-time on weekends at the ice cream shop
which of the following is NOT an example of an intellectual property right?
Land deed
when an economy uses the most efficient means of farming to grow as much corn as possible, this economy has achieved:
Production efficiency but not necessarily allocative efficiency
frictional unemployment is
Short-term unemployment associated with people who are switching jobs
Which of the following statements does NOT describe a problem in measuring the consumer price index (CPI)?
The CPI includes new product in its baskets
the leading Economic Index is produced by
The conference board
a business cycle recovery that doesn't Reach its long-term trend can lead to
a double dip recession
trade is
a driver of economic growth
Which of the following reasons does not contribute to a higher level of unemployment
a reduction in union bargaining activities
Which policy is Most likely to contribute to improved standards of living over time.
adding after-school art and music programs to promote creativity
paying a salesperson more for increased sales is an example of:
an incentive
The official unemployment rate as commonly reported by the Department of labor each month does not include people who
are underemployed
the idea that all income ultimately goes to households, which then use it to buy goods and services from firms, is central idea of the
circular flow diagram
macroeconomics focuses on
decision affecting the entire economy
willingness to pay______ for prison to person______ under varying corcumstances
differs; differs
we should most likely expect a recession if the Leading Econimic Index
falls for three months in a row
When a recession gets under way
firms start to lay off workers to reduce cost
Inflation is a
general rise in prices
in a communist state, the _________ decide(s) what a society wants, but in a capitalist economy, the ________ decide what products they want
government; consumers
in the national income and product account system, the two main approaches to measuring the size of the economy are
income and expenditures
The National Bureau of Economic Research:
is a nonprofit research organization that dates business cycles in the US
which statement about short-run economic growth is NOT true
it is likely to occur when obstacles preventing resources from being used are put in place
an economic recovery that produces too jew jobs to significantly reduced the unemplyment rate is known as
jobless recovery
physical capitol includes
manufactured products that are used to produce other goods and services
consumer surplus is the difference between the
maximum price the buyer is willing to pay the marketplace.
in the circular flow diagram the counterclockwise direction shows the flow of _____ where household supply ______and business supply____.
money, labor,goods and services
which of the following is part of a planned economy
most of the productive recourses are owned by the state
IKEA Made in Poland
neither GDP nor GNP
Economics is BEST defined as the study of how:
people make rational decision
in the market economy, the primary channel through which buyers and sellers communicate with each other is
price
Which of the following is included in the consumer price index
price of gasoline
another way of referring to a market economy is as a
price system
to avoid double-counting output in GDP measures, ___ are excluded in GDP
raw materials
in the market for online...........equilibrum price of online tutoring to ________and the equilibrium quantity to
rise; rise
which statement is NOT true when a market is in equilibrium?
seller have enough inventory to inventory to satisfy all buyers and some left over for future demand
GDP can be found either by adding up all of the _____ or all of the ______ in the economy
spending; income
which of the following occurrences is the key explanation for the high economic growth in the United States in the past century
technology improvement
Which of the following is NOT true
the consumer price index is a cost-of-living index
human capitol includes
the improvement to labor capabilities from training, education, and apprenticeship programs
in which market is government most likely to intervene to prevent a market failure.
the market for college education.
in a market-based economy, scarce resources are allocated by;
the price system
if the price of tapioca increases, what will happen to the supply of bubble tea, all else being equal
the supply of bubble tea will decrease
Tim woke up this morning with a stomachache and decided to skip class in order to get more rest. what is the oppertunity cost of Tims decision to sleep in?
the value of attending the class he decided to miss
which statement is true about markets
they can contain legal or illegal activity conducted by an individual or business
which of the following is NOT an effective tool used by government to promote economic growth
trade barriers to protect domestic industries
Unemployment tends to be highest during the ____ stage of the business cycle while there is a greater risk of high demand leading to inflation during the ____ stage of the business cycle
trough; peak
macroeconomics is concerned with issues such as
unemployment
Business cycles
vary in duration and magnitude
Because of scarcity
we face tradeoffs in nearly every choice we make
a market exists when;
when people exchange money for goods and services
microeconomics is concerned with issues such as
which job to take
which is NOT a basic economic question that societies must answer?
why are these goods and services being produced
Reasons to study economics include all of these EXCEPT that you:
will learn exactly how to invest your cash short term for the highest return on investment