MACROECONOMICS TEST BANK QUESTIONS AND
CORRECT ANSWERS
Which of the following would directly affect GDP?
a. Aunt lucille receives her social security check
b. aunt lucille spends all day saturday cleaning her house
c. aunt lucilles house is destroyed by a tornado
d. none of the above -Answer:-d. none of the above
which of the following statements is false?
a. investment does not include new residential housing
b. consumption is the largest component of GDP
c. Government purchases does not include transfer payments
d. net exports = exports minus imports -Answer:-a. investment does
not include new residential housing
when total output is measured as the sum of all payments to
resource owners, the result is: -Answer:-National Income
, Of Arizona, Colorado, Kansas, and North Carolina, the state with the
highest per capita personal income in 2010 was: -Answer:-Colorado
Of Georgia, Oklahoma, South Dakota, and Virginia, the state with the
lowest per capita personal income in 2010 was: -Answer:-Georgia
Nominal GDP may increase:
a. if there is an increase in the price level
b. if there is an increase in production
c. even if real GDP decreased
d. all of the above -Answer:-d. all of the above
The phase of the business cycle when real GDP is increasing is
called: -Answer:-Expansion
Which of the following is not one of the macroeconomic goals?
a. full employment
b. money supply growth
c. economic growth
d. price level stability -Answer:-b. money supply growth
CORRECT ANSWERS
Which of the following would directly affect GDP?
a. Aunt lucille receives her social security check
b. aunt lucille spends all day saturday cleaning her house
c. aunt lucilles house is destroyed by a tornado
d. none of the above -Answer:-d. none of the above
which of the following statements is false?
a. investment does not include new residential housing
b. consumption is the largest component of GDP
c. Government purchases does not include transfer payments
d. net exports = exports minus imports -Answer:-a. investment does
not include new residential housing
when total output is measured as the sum of all payments to
resource owners, the result is: -Answer:-National Income
, Of Arizona, Colorado, Kansas, and North Carolina, the state with the
highest per capita personal income in 2010 was: -Answer:-Colorado
Of Georgia, Oklahoma, South Dakota, and Virginia, the state with the
lowest per capita personal income in 2010 was: -Answer:-Georgia
Nominal GDP may increase:
a. if there is an increase in the price level
b. if there is an increase in production
c. even if real GDP decreased
d. all of the above -Answer:-d. all of the above
The phase of the business cycle when real GDP is increasing is
called: -Answer:-Expansion
Which of the following is not one of the macroeconomic goals?
a. full employment
b. money supply growth
c. economic growth
d. price level stability -Answer:-b. money supply growth
