TEST BANK
Principles of Macroeconomics
N. Gregory Mankiw
──────────────────────────────────────────────────
ST
11th Edition
UV
IA
_A
PP
RO
VE
D?
, TABLE OF CONTENTS
Principles of Macroeconomics (11th Edition) - Test Bank
R
N. Gregory Mankiw
ST
U
Chapter 1 Ten Principles of Economics
SE
Chapter 2 Thinking Like an Economist
UV
Chapter 3 Interdependence and the Gains from Trade
Chapter 4 The Market Forces of Supply and Demand
IS
Chapter 5 Elasticity and Its Application
Chapter 6 Supply, Demand, and Government Policies
O
IA
Chapter 7 Consumers, Producers, and the Efficiency Of Markets
Chapter 8
Chapter 9
N
Application: The Costs of Taxation
Application: International Trade
N
_A
Chapter 10 Measuring a Nation’s Income
O
Chapter 11 Measuring the Cost of Living
Chapter 12 Production and Growth
C
Chapter 13 Saving, Investment, and the Financial System
PP
ED
Chapter 14 The Basic Tools of Finance
Chapter 15 Unemployment
Chapter 16 The Monetary System
M
RO
Chapter 17 Money Growth and Inflation
Chapter 18 Open-Economy Macroeconomics: Basic Concepts
Chapter 19 A Macroeconomic Theory of the Open Economy
Chapter 20 Aggregate Demand and Aggregate Supply
Chapter 21 The Influence of Monetary and Fiscal Policy on Aggregate Demand
VE
Chapter 22 The Keynesian Cross
Chapter 23 The Short-run Trade-off between Inflation and Unemployment
Chapter 24 Five Debates over Macroeconomic Policy
D?
Chapter 25 Appendix: How Economists Use Data
, Name: Class: Date:
Ch 01: MC
1. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
ST
c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
ANSWER: c
UV
2. Fundamentally, economics deals with
a. scarcity.
b. money.
c. poverty.
d. banking.
IA
ANSWER: a
3. The overriding reason why households and societies face many decisions is that
a. resources are scarce.
_A
b. goods and services are not scarce.
c. incomes fluctuate with business cycles.
d. people, by nature, tend to disagree.
ANSWER: a
PP
4. The phenomenon of scarcity stems from the fact that
a. most economies' production methods are not very good.
b. in most economies, wealthy people consume disproportionate quantities of goods and services.
RO
c. governments restrict production of too many goods and services.
d. resources are limited.
ANSWER: d
5. In most societies, resources are allocated by
a. a single central planner.
VE
b. a small number of central planners.
c. those firms that use resources to provide goods and services.
d. the combined actions of millions of households and firms.
D?
ANSWER: d
, Name: Class: Date:
Ch 01: MC
6. Natural gas is widely used for heating and electricity, but it's considered to be a nonrenewable energy source. Which
of the following statements is correct?
a. Natural gas is an unlimited resource.
b. Natural gas is a scarce resource.
ST
c. Natural gas is a nonscarce resource.
d. Natural gas is not a resource.
ANSWER: b
UV
7. Economics is the study of how society manages its
a. limited wants and unlimited resources.
b. unlimited wants and unlimited resources.
c. limited wants and limited resources.
IA
d. unlimited wants and limited resources.
ANSWER: d
8. What term refers to the idea that society has limited resources and therefore cannot produce all the goods and
_A
services people wish to have?
a. inefficiency
b. inequality
c. scarcity
d. market failure
PP
ANSWER: c
9. The adage, "There ain't no such thing as a free lunch," means
a. even people who receive TANF benefits have to pay for food.
RO
b. the cost of living is always increasing.
c. people face tradeoffs.
d. all costs are included in the price of a product.
ANSWER: c
VE
10. Which of the following statements best represents the principle of the adage, "There ain't no such thing as a free
lunch"?
a. Aaliyah can attend the concert only by carpooling with siblings.
b. Raj leaves wallet at home and misses lunch.
D?
c. Amar must repair the bike tire before riding it to school.
d. Liam must decide between going to Florida or Brazil for spring break.
ANSWER: d
Principles of Macroeconomics
N. Gregory Mankiw
──────────────────────────────────────────────────
ST
11th Edition
UV
IA
_A
PP
RO
VE
D?
, TABLE OF CONTENTS
Principles of Macroeconomics (11th Edition) - Test Bank
R
N. Gregory Mankiw
ST
U
Chapter 1 Ten Principles of Economics
SE
Chapter 2 Thinking Like an Economist
UV
Chapter 3 Interdependence and the Gains from Trade
Chapter 4 The Market Forces of Supply and Demand
IS
Chapter 5 Elasticity and Its Application
Chapter 6 Supply, Demand, and Government Policies
O
IA
Chapter 7 Consumers, Producers, and the Efficiency Of Markets
Chapter 8
Chapter 9
N
Application: The Costs of Taxation
Application: International Trade
N
_A
Chapter 10 Measuring a Nation’s Income
O
Chapter 11 Measuring the Cost of Living
Chapter 12 Production and Growth
C
Chapter 13 Saving, Investment, and the Financial System
PP
ED
Chapter 14 The Basic Tools of Finance
Chapter 15 Unemployment
Chapter 16 The Monetary System
M
RO
Chapter 17 Money Growth and Inflation
Chapter 18 Open-Economy Macroeconomics: Basic Concepts
Chapter 19 A Macroeconomic Theory of the Open Economy
Chapter 20 Aggregate Demand and Aggregate Supply
Chapter 21 The Influence of Monetary and Fiscal Policy on Aggregate Demand
VE
Chapter 22 The Keynesian Cross
Chapter 23 The Short-run Trade-off between Inflation and Unemployment
Chapter 24 Five Debates over Macroeconomic Policy
D?
Chapter 25 Appendix: How Economists Use Data
, Name: Class: Date:
Ch 01: MC
1. Resources are
a. scarce for households but plentiful for economies.
b. plentiful for households but scarce for economies.
ST
c. scarce for households and scarce for economies.
d. plentiful for households and plentiful for economies.
ANSWER: c
UV
2. Fundamentally, economics deals with
a. scarcity.
b. money.
c. poverty.
d. banking.
IA
ANSWER: a
3. The overriding reason why households and societies face many decisions is that
a. resources are scarce.
_A
b. goods and services are not scarce.
c. incomes fluctuate with business cycles.
d. people, by nature, tend to disagree.
ANSWER: a
PP
4. The phenomenon of scarcity stems from the fact that
a. most economies' production methods are not very good.
b. in most economies, wealthy people consume disproportionate quantities of goods and services.
RO
c. governments restrict production of too many goods and services.
d. resources are limited.
ANSWER: d
5. In most societies, resources are allocated by
a. a single central planner.
VE
b. a small number of central planners.
c. those firms that use resources to provide goods and services.
d. the combined actions of millions of households and firms.
D?
ANSWER: d
, Name: Class: Date:
Ch 01: MC
6. Natural gas is widely used for heating and electricity, but it's considered to be a nonrenewable energy source. Which
of the following statements is correct?
a. Natural gas is an unlimited resource.
b. Natural gas is a scarce resource.
ST
c. Natural gas is a nonscarce resource.
d. Natural gas is not a resource.
ANSWER: b
UV
7. Economics is the study of how society manages its
a. limited wants and unlimited resources.
b. unlimited wants and unlimited resources.
c. limited wants and limited resources.
IA
d. unlimited wants and limited resources.
ANSWER: d
8. What term refers to the idea that society has limited resources and therefore cannot produce all the goods and
_A
services people wish to have?
a. inefficiency
b. inequality
c. scarcity
d. market failure
PP
ANSWER: c
9. The adage, "There ain't no such thing as a free lunch," means
a. even people who receive TANF benefits have to pay for food.
RO
b. the cost of living is always increasing.
c. people face tradeoffs.
d. all costs are included in the price of a product.
ANSWER: c
VE
10. Which of the following statements best represents the principle of the adage, "There ain't no such thing as a free
lunch"?
a. Aaliyah can attend the concert only by carpooling with siblings.
b. Raj leaves wallet at home and misses lunch.
D?
c. Amar must repair the bike tire before riding it to school.
d. Liam must decide between going to Florida or Brazil for spring break.
ANSWER: d
