Multiple Choice Questions About Economics

Multiple Choice (1 point eachWhich is not an economic pass of money ? Ans : Ca . A medium of replacement c . A factor of productionb . A store of measure d . A measure of valueThe sum of currency , travelers checks , and checkable deposits held by the public is known as Ans : Aa . M1 c . M3b . M2 d . VAn increase in the money stock leave behind cause matter to rates to ____________________Increase Ans : BDecreaseRemain the same4 .Which of the following is some responsible for setting monetary policyA )Twelve Federal diffidence banks . Ans : CB )The Executive Branch of administrationC )The Board of Governors of the Federal dumb )The Federal Open Market committee5 .Which is not a aim of the Federal Reserve ? Ans : Ba . Stabilize the thrift c . reserve the growth on the money supplyb . Control trade d . Control the business cycle6 .Which is most liable(predicate) to be affected by changes in the rate of interest ? Ans : Ba . Consumer spending c . Federal government spendingb . Investment spending d . The exports of a country7 .A intelligence agency headline reads Fed cuts Discount rate for the third eon this year This headline indicates the Federal Reserve is most promising trying to : Ans : AReduce inflationary pressures in the economyIncrease the Federal property rateReduce the cost of credit and stimulate the economyIncrease the value of the dollar8 . An increase in the MPS from .20 to .50 means Ans : AThe MPC falls from .80 to .

50Less is saved at every train of discipline incomeMore is consumed at every level of national incomeThe MPC increases as well from .20 to .50Intended investment increase by 309 . If a 100B cut in government spending causes national income to fall by 500B , then the MPC is Ans : B .75 d .25 .8 e .2 .910 . If government policy creates a deficit figure while the economy is already at full workplace , then Ans : ANational income is fallingFiscal policy is inflationaryFiscal policy is recessionaryThe balanced figure multiplier must be less than 1e . The balanced budget multiplier must be greater than 1Notes3 /8 ) limit the money supply leads to higher interest rates and bring down investment7 ) An increase in the discount rate causes i to trick up and output to fall_9 ?Y ___1___ ?A (1-c500 B __1__ (100B (1-c500 (1-c 100500 - 500 c 100- 500 c - 400c 0 .8...If you want to get a full essay, order it on our website: Ordercustompaper.com

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