{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

Quiz - Chapter 29 (Practice 1)

Quiz - Chapter 29 (Practice 1) - Maximum number of choices...

Info icon This preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
Maximum number of choices allowed is {0}. Points Awarded 76.67 Points Missed 23.33 Percentage 76.7% 1. According to which theory of the business cycle do changes in the quantity of money never play a role in helping to explaining fluctuations in real variables? A) Keynesian B) monetarist C) rational expectations D) real business cycle Points Earned: 3.3/3.3 Correct Answer(s): D 2. A Phillips curve measures the relationship between
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
3. When aggregate demand persistently grows at a rate that exceeds the growth rate of potential GDP, the economy will experience ________. Points Earned: 3.3/3.3 Correct Answer(s): D 4. In the above figure, the economy is at point A. An increase in oil prices that sets off a costpush inflation will initially move the economy from point A to point Points Earned: 3.3/3.3 Correct Answer(s): D
Image of page 2
5. The long-run Phillips curve shows the relationship between the inflation rate and the unemployment rate when the A) real interest rate equals the nominal interest rate. B) real interest rate is zero. C) actual inflation rate equals the expected inflation rate. D) inflation rate is zero. Points Earned: 3.3/3.3 Correct Answer(s): C 6. In real business cycle theory, all of the following events can be sources of fluctuations in productivity EXCEPT ________. Points Earned: 3.3/3.3 Correct Answer(s): C
Image of page 3

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
7. Demand-pull inflation results from continually increasing the quantity of money, which leads to a continually Points Earned: 3.3/3.3 Correct Answer(s): D 8. In monetarist business cycle theory, the factor leading to a business cycle is changes in Points Earned: 3.3/3.3 Correct Answer(s): C 9. The mid-1970s in the United States were characterized by A) increases in aggregate demand and decreases in short-run aggregate supply. B) decreases in both aggregate demand and long-run aggregate supply.
Image of page 4
C) decreases in both aggregate demand and short-run aggregate supply. D) decreases in long-run aggregate supply and increases in short-run aggregate supply. Points Earned: 3.3/3.3 Correct Answer(s): A
Image of page 5

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern