McqMate
Chapters
1. |
Macroeconomics as a separate branch came to be studied after the contributions of which economist? |
A. | Adam Smith |
B. | John Maynard Keynes |
C. | F. Hayek |
D. | Samuelson |
Answer» B. John Maynard Keynes |
2. |
When did the Great Depression hit the United States? |
A. | 2007 |
B. | 1929 |
C. | 1936 |
D. | 2001 |
Answer» B. 1929 |
3. |
Consider the following statements: 1. In a Capitalist economy there is private ownership of means of production 2. In a communist nation, the means of production are owned by the State 3. In a free-market economy there is minimum role of the Government Which of the above 3 statement is/are true? |
A. | Only 1 and 3 |
B. | Only 2 and 3 |
C. | Only 3 |
D. | All are true |
Answer» D. All are true |
4. |
Macroeconomics is a study of economics that deals with which 4 major factors: |
A. | households, firms, government, and demand-supply |
B. | households, firms, government and external sector |
C. | firms, government, free-market, and regulations |
D. | none of the above |
Answer» B. households, firms, government and external sector |
5. |
What are consumption goods? |
A. | Goods used for consumption in the production process |
B. | Goods such as tools, machinery, etc which are used to create final consumption goods |
C. | Goods and services that are consumed fully when purchased by the consumers |
D. | None of the above |
Answer» C. Goods and services that are consumed fully when purchased by the consumers |
6. |
What are Capital goods? |
A. | Goods used for consumption in the production process |
B. | Goods such as tools, machinery, etc which are used to create final consumer goods |
C. | Goods and services that are consumed fully when purchased by the consumers |
D. | None of the above |
Answer» B. Goods such as tools, machinery, etc which are used to create final consumer goods |
7. |
Intermediate goods are not included to calculate the final output because: |
A. | they do not have value |
B. | they have unknown value |
C. | their value is included in final goods so they are not added to avoid the problem of double counting |
D. | none of the above |
Answer» C. their value is included in final goods so they are not added to avoid the problem of double counting |
8. |
What does the term Gross investment mean while denoting a nation's economy? |
A. | Gross investment= Net investment + Depreciation |
B. | Gross investment= Net investment - Depreciation |
C. | Gross investment= Depreciation - Net investment |
D. | None of the above |
Answer» A. Gross investment= Net investment + Depreciation |
9. |
What does the term free-market denote in terms of economy? |
A. | Minimal government intervention in trade and minimum regulations |
B. | Maximum government intervention in trade and maximum regulations |
C. | Means of production owned by the state |
D. | None of the above |
Answer» A. Minimal government intervention in trade and minimum regulations |
10. |
___________economics can study the problem of Inflation in the country. |
A. | Micro |
B. | Macro |
C. | Static |
D. | Dynamic |
Answer» B. Macro |
11. |
The credit of development of macroeconomic approach must go to ________. |
A. | Dr. Marshall |
B. | Prof. Pigou |
C. | Lord Keynes |
D. | Mrs. Joan Robinson) |
Answer» C. Lord Keynes |
12. |
Macroeconomics does not study _________. |
A. | whole economy |
B. | national income |
C. | aggregate supply |
D. | product pricing) |
Answer» D. product pricing) |
13. |
_________ is the subject matter of Macroeconomics. |
A. | Growth theory |
B. | Factory Pricing |
C. | Market Structure |
D. | Individual Incomes |
Answer» A. Growth theory |
14. |
Micro and Macro approaches are ________. |
A. | Competitive |
B. | Alternative |
C. | Substitutes |
D. | Complementary |
Answer» D. Complementary |
15. |
For economists, statements about the world are of two types: |
A. | Assumptions and theories |
B. | Positive statements and negative statements |
C. | Positive statements and normative statements |
D. | Specific statements and general statements |
Answer» C. Positive statements and normative statements |
16. |
The opportunity cost of going to university is: |
A. | The total spent on food, clothing, books, transportation, tuition, lodging and other expenses |
B. | Zero for students who are fortunate enough to have all of their university expenses paid by someone else |
C. | Zero, since a university education will allow a student to earn a higher income after graduation |
D. | The value of the best opportunity a student gives up to attend university |
Answer» D. The value of the best opportunity a student gives up to attend university |
17. |
Statistics such as GDP, the unemployment rate, the rate of inflation and the trade balance are: |
A. | Macro, since they tell us something about the entire economy |
B. | Neither macro nor micro, but properly in the realm of political science |
C. | Both micro and macro |
D. | Micro, since they affect individual households and firms |
Answer» A. Macro, since they tell us something about the entire economy |
18. |
What do you mean by a mixed economy? |
A. | Modern and traditional industries |
B. | Public and private sectors |
C. | Foreign and domestic investments |
D. | Commercial and subsistence farming |
Answer» B. Public and private sectors |
19. |
“Capitalism” refers to? |
A. | The use of market |
B. | Government ownership of capital |
C. | Private ownership of capital goods |
D. | Private ownership of homes & cars |
Answer» C. Private ownership of capital goods |
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