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Mastering Macroeconomics

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Questions and Answers

Which of the following is NOT a component of Gross Domestic Product (GDP)?

Imports (correct)

Investment

Government spending

Consumption

What is the relationship between unemployment and inflation according to the Phillips curve?

As unemployment increases, inflation increases

As unemployment decreases, inflation decreases

As unemployment decreases, inflation increases (correct)

As unemployment increases, inflation decreases

What is the role of fiscal policy in managing the economy?

Controlling exchange rates

Controlling interest rates

Controlling the money supply

Controlling government spending and taxation (correct)

Mastering Macroeconomics

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Podcast

Questions and Answers

Which of the following is NOT a component of Gross Domestic Product (GDP)?

What is the relationship between unemployment and inflation according to the Phillips curve?

What is the role of fiscal policy in managing the economy?

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