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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Document preview page 1

UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 1

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UMUC ECON 201 Quiz 1 And 2 Latest 2015

Solved quizzes covering fundamental principles of microeconomics and macroeconomics.

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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 1 preview imageUMUC Econ201 Quiz 1 And 2 Latest 2015Report this Question as InappropriateQuestionQuestion 1 1 / 1 pointMacroeconomic topics do not usually include:a)the profit maximizing decisions of an individual manufacturer.b)economic growth.c)the rate of inflation.d)the rate of unemployment.Question 2 1 / 1 pointWhen nations desire a healthy macroeconomy, they typically focus on three goals, one of thesebeing:a)low inflationb)balanced budgetc)prudent monetary policyd)assuring competition between firmsQuestion 3 1 / 1 pointIfmacroeconomics looks at the economy as a whole, it focuses on which of the following?a)the division of laborb)householdsc)business firmsd)unemployed peopleQuestion 4 0 / 1 pointIn the ______________, households receive goods and services and pay firms for them.
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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 2 preview image
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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 3 preview imagea)goods and services marketb)labor marketc)financial capital marketd)savings marketQuestion 5 1 / 1 pointWhich of the following is included in the calculated Gross Domestic Product?a)Farmer Freddie sells his second tractor tohis son.b)Suzanne buys a love seat and chair for $85 at the yard sale on the corner.c)A local ice cream store sells $17,000 worth of cones and sundaes on July 1.d)Mr. Farkle buys a used lawn mower from his neighbor, Mr. Sparkle.Question 6 1 / 1 point_______________, which can be approximated by the growth of gross domestic product,ultimately determines the prevailing standard of living in a country.a)Inflationb)Trade balancec)Economic growthd)EducationQuestion 7 1 / 1 pointGDP does notdirectly include:a)the value of final goods and services produced, but not sold, during a period.b)the value of services rendered during a period.c)the value of intermediate goods sold during a period.d)the value of goods produced domestically and sold abroad.Question 8 1 / 1 point
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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 4 preview imageA business cycle reflects changes in economic activity, particularly real GDP. The stages of abusiness cycle are:a)expansion, trough, recession, peakb)trough, expansion, recession, peakc)contraction, recession, expansion, boomd)expansion, peak, recession, troughQuestion 9 1 / 1 pointEthiopia has a GDP of $8 billion (measured in U.S. dollars) and a population of 55 million.Costa Rica has a GDP of $9 billion (measured in U.S. dollars) and a population of 4million.Calculate per capita GDP for each country.a)Ethiopia = $145.00 Costa Rica = $2250.00b)Ethiopia = $1450.00 Costa Rica = $22,500.00c)Ethiopia = $14.50 Costa Rica = $225.00d)Ethiopia = $14.50 Costa Rica = $2250.00Question 10 1 / 1 pointCountry Able and Country Baker initially have the same real GDP per capita. Country Ableexperiences no economic growth, while Country Baker grows at a sustained rate of 7 percent. In12 years, Country Baker's GDP will be approximately ___________ that of Country Able.a)one-halfb)one-fourthc)tripled)doubleQuestion 11 1 / 1 pointIncreased investment alone will guarantee economic growth.a)This is a true statement, because growth occurs only with savings.
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UMUC ECON 201 Quiz 1 And 2 Latest 2015 - Page 5 preview imageb)This is a false statement, becauseeconomic growth hinges on the quality and type ofinvestment as well as the human capital and improvements in technology.c)This is a false statement, because an economy must rely on capital injections from abroad.d)This is a true statement, because money is the only resource needed for growth.Question 12 1 / 1 pointSome recent economic research has suggested that African countries' economic growth may havebeen limited by __________________ .a)populationb)geography and climatec)government interventionismd)technological challengesQuestion 13 1 / 1 pointA nation's prosperity is sometimes measured in terms of ___________.a)GNPCorrect Responseb)GDP per capitac)GDPd)economic outputQuestion 14 1 / 1 pointA university student who isenrolled in school fulltime and not seeking employment isconsidered:a)underemployed.b)unemployable, and not counted in official statistics.c)out of the labor force.d)employed in leisure.
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