Macroeconomics Quiz Questions & Answers
Macro or Micro?
9 multiple choice quiz questions with answers
Test your knowledge of macroeconomics with this quiz! From GDP and inflation to fiscal and monetary policy, this quiz covers the essential topics of macroeconomics. See how well you understand the economy as a whole, and challenge yourself with questions on different schools of thought and models us...
Test your knowledge of macroeconomics with this quiz! From GDP and inflation to fiscal and monetary policy, this quiz covers the essential topics of macroeconomics. See how well you understand the economy as a whole, and challenge yourself with questions on different schools of thought and models used in macroeconomics. Whether you are studying economics or simply interested in the subject, this quiz is a great way to test your knowledge and learn more about the fascinating world of macroeconomics.
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1. What does macroeconomics study?
- The performance, structure, behavior, and decision-making of an economy as a whole
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2. What is the United Nations Sustainable Development Goal 17?
- To enhance global macroeconomic stability through policy coordination and coherence
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3. What is the AD-AS model used for?
- Stabilizing prices and avoiding negative consequences
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4. What is the neoclassical growth model of Robert Solow?
- A model for explaining economic growth in the long-run
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5. What is the difference between macroeconomics and microeconomics?
- Macroeconomics studies the economy as a whole, while microeconomics studies the behavior of individual consumers and firms in specific markets
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6. What is the primary driver of economic growth?
- Advances in technology
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7. What is the purpose of fiscal policy?
- To influence the economy through government revenue and expenditure
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8. What is the difference between inflation and deflation?
- Inflation is an increase in the general price level, while deflation is a decrease in the general price level
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9. Why do economists usually favor monetary over fiscal policy?
- Fiscal policy is implemented by independent central banks and suffers shorter lags
Unemployment Quiz
9 multiple choice quiz questions with answers
Test your knowledge of unemployment with our comprehensive quiz! Learn about the different types and theories of unemployment, the various ways it is measured, and its historical and societal impacts. With questions covering topics such as female labor force participation, causes and remedies of une...
Test your knowledge of unemployment with our comprehensive quiz! Learn about the different types and theories of unemployment, the various ways it is measured, and its historical and societal impacts. With questions covering topics such as female labor force participation, causes and remedies of unemployment, and the relationship between unemployment and economic growth, this quiz is perfect for anyone looking to deepen their understanding of this complex and important issue.
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1. What is the main cause of cyclical unemployment?
- Not enough aggregate demand in the economy
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2. What is the main difference between structural and frictional unemployment?
- Structural unemployment occurs when real wages for a job are set above the market-clearing level, while frictional unemployment is caused by a mismatch between skills of unemployed workers and available jobs
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3. What is long-term unemployment?
- Unemployment that lasts for longer than one year
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4. What led to the rise of women participating in the US labor force in the mid-1970s to the late 1990s?
- Introduction of a new contraceptive technology, birth control pills
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5. What is the labor force participation rate?
- The ratio between the labor force and the overall size of their cohort
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6. What is the main reason for unemployment benefits affecting the measures of employment and unemployment?
- They discourage people from seeking employment
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7. What is the main goal of supply-side policies?
- To make the labor market more flexible and increase long-term growth by reducing labor costs
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8. What is the natural rate of unemployment?
- The rate of unemployment that occurs when there is not enough aggregate demand in the economy
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9. What is the main difference between structural and classical unemployment?
- Structural unemployment is caused by a mismatch between skills of unemployed workers and available jobs, while classical unemployment occurs when there is not enough aggregate demand in the economy
Supply-Side Economics and China's Structural Reform Quiz
9 multiple choice quiz questions with answers
Test your knowledge of Supply-Side Economics and China's Supply-Side Structural Reform with this quiz! From the Laffer curve to the Kansas experiment, this quiz will challenge your understanding of the theory and examples of supply-side economics. You'll also learn about China's efforts to combat sl...
Test your knowledge of Supply-Side Economics and China's Supply-Side Structural Reform with this quiz! From the Laffer curve to the Kansas experiment, this quiz will challenge your understanding of the theory and examples of supply-side economics. You'll also learn about China's efforts to combat slowing economic growth through supply-side structural reforms, including the reduction of excess industrial capacity and increased incentives for private sector investment. Take this quiz to see how much you know about these important economic concepts and policies!
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1. What is the main focus of supply-side economics?
- Promoting economic growth
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2. What is the Laffer curve?
- A theoretical relationship between tax rates and government revenue
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3. What is the postulate of supply-side economics embodied by the Laffer curve?
- Tax rates and tax revenues are distinct
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4. What is the 'Kansas experiment'?
- A real-life test of supply-side economics
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5. What is the aim of China's supply-side structural reforms?
- Combatting slowing economic growth
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6. What are the four key areas of China's supply-side structural reforms?
- Reducing excess industrial capacity, reducing leverage in the corporate sector, reducing property inventories, and lowering costs for new enterprises
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7. What are some criticisms of supply-side economics?
- It fails to produce the expected results
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8. What is Made in China 2025?
- A program to increase investment in technological improvements
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9. What is the economic effect of the Trump tax overhaul?
- Little to no economic growth and decreased federal revenues
Test Your Knowledge on Aggregate Demand
9 multiple choice quiz questions with answers
Test your knowledge on Aggregate Demand and Debt in Economics with this quiz! Learn about the key facts and figures related to Aggregate Demand (AD) and Domestic Final Demand (DFD), as well as the short-term relationship between the economy and the Aggregate Supply (AS) curve. Explore the role of de...
Test your knowledge on Aggregate Demand and Debt in Economics with this quiz! Learn about the key facts and figures related to Aggregate Demand (AD) and Domestic Final Demand (DFD), as well as the short-term relationship between the economy and the Aggregate Supply (AS) curve. Explore the role of debt in the Post-Keynesian theory of aggregate demand and how changes in debt growth can impact the overall demand of an economy. Discover the impact of credit bubbles on aggregate demand and the role of government deficit
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1. What is aggregate demand (AD)?
- The total demand for final goods and services in an economy at a given time.
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2. What are the components of aggregate demand?
- Consumer spending, investment, corporate and government expenditure, and net exports.
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3. What is the slope of the aggregate demand curve derived from?
- Three macroeconomic assumptions about the functioning of markets: Pigou's wealth effect, Keynes' interest rate effect, and the Mundell–Fleming exchange-rate effect.
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4. What does the Mundell–Fleming model portray?
- The short-run relationship between an economy's nominal exchange rate, interest rate, and output.
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5. What can shift the AD curve to the right?
- Increases in the money supply, in government expenditure, or in autonomous components of investment or consumption spending, or from decreases in taxes.
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6. What happens to the aggregate supply curve when aggregate demand increases?
- There is movement up along the aggregate supply curve, giving a higher level of prices.
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7. What did John Maynard Keynes argue during the Great Depression?
- The loss of output by the private sector as a result of a systemic shock ought to be filled by government spending.
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8. What is the Post-Keynesian theory of aggregate demand?
- It emphasizes the role of debt, referring to it as the credit impulse.
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9. What do Austrian theorists argue about aggregate demand?
- It is a meaningless concept in economic analysis, and recessions are caused by micro-economic factors.
Test Your Knowledge of Aggregate Supply in Economics!
9 multiple choice quiz questions with answers
Test your knowledge on the key points of aggregate supply in economics with this quiz! From understanding the concept of aggregate supply to identifying the different degrees of price-level responsiveness and supply-side policies, this quiz covers a range of topics related to aggregate supply. Wheth...
Test your knowledge on the key points of aggregate supply in economics with this quiz! From understanding the concept of aggregate supply to identifying the different degrees of price-level responsiveness and supply-side policies, this quiz covers a range of topics related to aggregate supply. Whether you're a student of economics or just interested in learning more about this important economic concept, this quiz is a great way to test your knowledge and challenge yourself. So why wait? Take the quiz now and see how much you really know about aggregate supply
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1. What is aggregate supply?
- The total supply of goods and services that firms in a national economy plan on selling in a specific time period
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2. What is the relationship between the price level and aggregate output supplied?
- Aggregate output supplied rises as the price level rises
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3. What are the three degrees of price-level responsiveness of aggregate supply?
- Perfectly elastic, relatively inelastic, and relatively elastic
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4. Which axis does real output (Y) and the price level (P) represent in the standard aggregate supply-aggregate demand model?
- Real output (Y) on the horizontal axis, and the price level (P) on the vertical axis
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5. What are supply-side policies?
- Policies that increase productive efficiency and national output
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6. Who proposed continuing supply-side reforms in their 2022 economic programme?
- Both Liz Truss and Chancellor Kwasi Kwarteng
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7. Which UK government department leads the work on 'the supply side'?
- HM Treasury's Enterprise and Growth Unit
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8. What is 'supply-side pessimism'?
- A concern that productive capacity is lost when unused
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9. Who took a pessimistic view of supply-side capabilities during the recession of 2012?
- Spencer Dale
