Podcast
Questions and Answers
What is the main measure of how an economy is doing?
What is the main measure of how an economy is doing?
- Unemployment rate
- Aggregate output (correct)
- Inflation rate
- Labor force participation rate
What defines a recession in an economy?
What defines a recession in an economy?
- Increase in aggregate output
- Two consecutive quarters of output increase
- A prolonged period of output growth
- Decrease in aggregate output (correct)
What happens when a recession becomes prolonged and deep?
What happens when a recession becomes prolonged and deep?
- Stagflation
- Economic boom
- Depression (correct)
- Economic equilibrium
How is unemployment rate calculated?
How is unemployment rate calculated?
What do policy makers aim to do during a business cycle?
What do policy makers aim to do during a business cycle?
What does the existence of unemployment imply?
What does the existence of unemployment imply?
What type of goods are used in the satisfaction of human wants and needs?
What type of goods are used in the satisfaction of human wants and needs?
Which type of goods are used in the production of other goods and services?
Which type of goods are used in the production of other goods and services?
What type of goods satisfy the basic needs of man?
What type of goods satisfy the basic needs of man?
Which type of goods contribute to satisfaction but are not essential?
Which type of goods contribute to satisfaction but are not essential?
What type of goods have value attached to them, are useful, and are scarce?
What type of goods have value attached to them, are useful, and are scarce?
What is the main idea behind the statement 'Everyone’s expenditure is someone else’s receipt'?
What is the main idea behind the statement 'Everyone’s expenditure is someone else’s receipt'?
Which process involves the physical transformation of a commodity into a finished product?
Which process involves the physical transformation of a commodity into a finished product?
In which market arena do firms and government purchase labor from households?
In which market arena do firms and government purchase labor from households?
Which of the following best defines 'goods' based on the provided text?
Which of the following best defines 'goods' based on the provided text?
Which market arena involves the exchange of goods and services between households, firms, and government?
Which market arena involves the exchange of goods and services between households, firms, and government?
How are labor transactions between firms/government and households described in the text?
How are labor transactions between firms/government and households described in the text?
Which statement best describes the concept of expenditure in macroeconomics based on the provided text?
Which statement best describes the concept of expenditure in macroeconomics based on the provided text?
What did John Maynard Keynes believe about government intervention in the economy?
What did John Maynard Keynes believe about government intervention in the economy?
Which of the following is NOT a major concern of macroeconomics?
Which of the following is NOT a major concern of macroeconomics?
What is deflation?
What is deflation?
During periods of low private demand, what can the government do to lift the economy out of recession?
During periods of low private demand, what can the government do to lift the economy out of recession?
What does hyperinflation refer to?
What does hyperinflation refer to?
Why are prolonged periods of deflation considered damaging for the economy?
Why are prolonged periods of deflation considered damaging for the economy?
What are the three kinds of policy that the government uses to influence the macroeconomy?
What are the three kinds of policy that the government uses to influence the macroeconomy?
What does fiscal policy refer to?
What does fiscal policy refer to?
What consists of tools used by the Central Bank to control the quantity of money in the economy?
What consists of tools used by the Central Bank to control the quantity of money in the economy?
Which sector focuses on stimulating aggregate supply instead of aggregate demand?
Which sector focuses on stimulating aggregate supply instead of aggregate demand?
What does macroeconomics focus on?
What does macroeconomics focus on?
What does the circular flow diagram show?
What does the circular flow diagram show?
