Part I Multiple choice questions
1. Monetarists hold which of the following views?
a. Policymakers have the advantage of being able to fine-tune the economy to attain desired
levels of inflation and unemployment.
b. Money supply is the primar
Part IMultiple-choice questions
1. At the break-even point:
the MPC is equal to the MPS.
the MPS is equal to 0.
consumption is equal to saving.
saving is equal to 0.
households are borrowing more than they are saving.
2. The ma
1. The major functions of the financial system do NOT include _.
a. transferring resources across time, sectors, and regions.
b. managing risks.
c. functioning as a clearinghouse.
d. pooling and subdividing fu
Part I. Multiple-choice questions
Which of the following statements is correct about measures of GDP?
If the nominal GDP of an economy was $4.80 (trillion) in 2013 and if the price level
rose by 20 percent fro