Test Bank for Macroeconomics, 14th
edition by Michael Parkin
In countries like _____________ the command economy predominates.
A. China and Vietnam
B. Cuba and North Korea
C. South Africa and Kenya
D. Germany and France - answer-B. Cuba and North Korea
. In which of the following countries will the national government have the greatest influence
with respect to the nation's economy?
A. China
B. Cuba
C. Canada
D. Chile - answer-B. Cuba
. In a command economy, the __________ either makes most economic decisions itself or at
least strongly influences how the decisions are made.
A. government
B. market
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,C. firm
D. business sector - answer-A. government
Because of their relatively small national economies, which of the following is most likely
considered to be the most important factor for Belgium, Korea, and Canada to take full
advantage of specialization?
A. division of labor
B. international trade
C. economies of scale
D. command economy - answer-B. international trade
. In a discussion of economics, which of the following would exert the most influence on an
individual firm's decision to hire workers?
A. wage levels
B. the macroeconomy
C. the firm's income
D. household income - answer-B. the macroeconomy
. In a _______________________, most economic decisions about what to produce, how to
produce it, and for whom to produce it are made by buyers and sellers.
A. market-oriented economy
B. macroeconomy
C. microeconomy
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,D. command economy - answer-A. market-oriented economy
Which of the following best denotes the reason for the existence of substantial black markets?
A. a market-oriented economy
B. a command economy
C. government laws and rules
D. the microeconomy - answer-B. a command economy
. Which of the following is generally accepted as a valid criticism of the production of useful
goods and services?
A. government involvement
B. the black market
C. environmental pollution
D. economic freedom - answer-C. environmental pollution
In the first chapter of The Wealth of Nations, Smith introduces the idea of the __________,
which means the way in which the work required to produce a good or service is divided into a
number of tasks that are performed by different workers.
A. division of labor
B. interconnected economy
C. task economy
D. modern economy - answer-A. division of labor
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, If macroeconomics looks at the economy as a whole, it focuses on which of the following?
A. households
B. business firms
C. unemployed people
D. the division of labor - answer-C. unemployed people
In the ____________, households work and receive payment from firms.
A. financial investment market
B. financial capital market
C. labor market
D. savings market - answer-C. labor market
In the ______________, households receive goods and services and pay firms for them.
A. labor market
B. financial capital market
C. goods and services market
D. savings market - answer-C. goods and services market
Which of the following best describes a monetary policy tool?
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edition by Michael Parkin
In countries like _____________ the command economy predominates.
A. China and Vietnam
B. Cuba and North Korea
C. South Africa and Kenya
D. Germany and France - answer-B. Cuba and North Korea
. In which of the following countries will the national government have the greatest influence
with respect to the nation's economy?
A. China
B. Cuba
C. Canada
D. Chile - answer-B. Cuba
. In a command economy, the __________ either makes most economic decisions itself or at
least strongly influences how the decisions are made.
A. government
B. market
1
,C. firm
D. business sector - answer-A. government
Because of their relatively small national economies, which of the following is most likely
considered to be the most important factor for Belgium, Korea, and Canada to take full
advantage of specialization?
A. division of labor
B. international trade
C. economies of scale
D. command economy - answer-B. international trade
. In a discussion of economics, which of the following would exert the most influence on an
individual firm's decision to hire workers?
A. wage levels
B. the macroeconomy
C. the firm's income
D. household income - answer-B. the macroeconomy
. In a _______________________, most economic decisions about what to produce, how to
produce it, and for whom to produce it are made by buyers and sellers.
A. market-oriented economy
B. macroeconomy
C. microeconomy
2
,D. command economy - answer-A. market-oriented economy
Which of the following best denotes the reason for the existence of substantial black markets?
A. a market-oriented economy
B. a command economy
C. government laws and rules
D. the microeconomy - answer-B. a command economy
. Which of the following is generally accepted as a valid criticism of the production of useful
goods and services?
A. government involvement
B. the black market
C. environmental pollution
D. economic freedom - answer-C. environmental pollution
In the first chapter of The Wealth of Nations, Smith introduces the idea of the __________,
which means the way in which the work required to produce a good or service is divided into a
number of tasks that are performed by different workers.
A. division of labor
B. interconnected economy
C. task economy
D. modern economy - answer-A. division of labor
3
, If macroeconomics looks at the economy as a whole, it focuses on which of the following?
A. households
B. business firms
C. unemployed people
D. the division of labor - answer-C. unemployed people
In the ____________, households work and receive payment from firms.
A. financial investment market
B. financial capital market
C. labor market
D. savings market - answer-C. labor market
In the ______________, households receive goods and services and pay firms for them.
A. labor market
B. financial capital market
C. goods and services market
D. savings market - answer-C. goods and services market
Which of the following best describes a monetary policy tool?
4
