Tiêu đề R15 Understanding Business Cycles.pdf ✅

Question #1 of 45 Question ID: 1204686 Which of the following statements is most accurate regarding monetarists? Monetarists believe that: A) scal policy is the most powerful of all government tools used to a ect prices and output. B) steady, predictable money growth is the best monetary policy. C) discretionary monetary policy is the best way to moderate uctuations in prices and output. Question #2 of 45 Question ID: 1204696 Which of the following is best described as an example of structural unemployment? A) When the plant was modernized, Jones lost her job because she did not have the skill needed to operate the new equipment. B) Although there were jobs available, Johnson was unable to nd an employer with a satisfactory opening. C) Smith was laid o due to negative growth of GDP, and did not seek other employment until he was recalled to his job. Question #3 of 45 Question ID: 1204697 Steve Walker, CFA, is attending an economics lecture, during which the lecturer makes the following two statements about consumer price in ation: Statement 1: High-de nition televisions are considerably more expensive than traditional models. This means consumers are spending more money per television unit, which represents a form of in ation. Statement 2: Employment contracts with automatic increases based on the Consumer Price Index fail to increase wages as much as the increase in the cost of living because of biases in the price index. Should Walker agree or disagree with these statements? Statement 1 Statement 2 A) Disagree Agree B) Agree Agree C) Disagree Disagree
Question #4 of 45 Question ID: 1204680 A rm's most likely initial response to a cyclical increase in the inventory-to-sales ratio is to adjust their utilization of labor by: A) laying o employees. B) reducing overtime. C) adding new workers. Question #5 of 45 Question ID: 1204709 Which of the following statements about biases that a ect the consumer price index (CPI) is least accurate? A) The basket of goods on which the CPI is based becomes a less accurate measure of household costs as new goods appear on the market. B) Price increases that result from quality improvements are re ected as increases in the CPI. C) The net e ect of built-in biases in the CPI is to underestimate in ation. Question #6 of 45 Question ID: 1204713 In ation resulting from a decrease in taxes is most likely: A) demand-pull in ation. B) stag ation. C) cost-push in ation. Question #7 of 45 Question ID: 1204674 A peak in the business cycle is most likely associated with: A) the highest level of economic output during the cycle. B) payroll employment turning from positive to negative. C) decreasing in ation pressure. Question #8 of 45 Question ID: 1204677 When the economy enters an expansion phase, the most likely e ect on external trade is a(n):
A) decrease in exports. B) increase in imports. C) increase in exports. Question #9 of 45 Question ID: 1204676 The expansion phase of a business cycle is least likely characterized by: A) increasing unemployment. B) increasing in ationary pressures. C) a positive rate of economic growth. Question #10 of 45 Question ID: 1204691 Which of the following is least likely one of the types of unemployment? A) Temporal. B) Structural. C) Frictional. Question #11 of 45 Question ID: 1204681 An economy has been producing at its full-employment level of output and the price level has been stable. Businesses then begin experiencing unintended decreases in their inventory levels. What does this most likely imply about the short-run outlook for economic growth and in ation? Economic growth In ation A) Increasing Increasing B) Decreasing Increasing C) Increasing Decreasing Question #12 of 45 Question ID: 1204704 Which of the following statements most accurately describes the di erence between headline in ation and core in ation?
A) Core in ation does not include food and energy prices. B) Headline in ation is a better measure of the underlying trend in prices. C) Core in ation refers to producer prices. Question #13 of 45 Question ID: 1204694 Bradley works a 14-hour-per-week job as a bartender at McQuigley's Pub. Maddeline left her position at a commercial bank to raise her two-year old daughter. How would these individuals be classi ed from the viewpoint of employment statistics? Bradley Maddeline A) Employed Not in labor force B) Not in labor force Not in labor force C) Employed Employed Question #14 of 45 Question ID: 1204703 The current annual in ation rate, as measured by using the Consumer Price Index (CPI), is best de ned as: A) percentage change in the CPI from its base period. B) percentage change in the CPI from a year ago. C) increase in the CPI from a year ago. Question #15 of 45 Question ID: 1204711 Which of the following statements is most accurate? Cost-push in ation: A) often occurs because of an increase in short-run aggregate supply. B) results from excess short-run aggregate demand. C) typically results from a signi cant price increase in a production input. Question #16 of 45 Question ID: 1204714 Which of the following economic indicators is classi ed as a leading indicator for the United States economy?