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Econ 300 Final Exam || Most Recent Exam Actual
Complete Real Exam Questions And Correct
Answers||Verified Exam!!!|| (Verified Answers) Already
Graded A+ | Guaranteed Success!! | Newest Exam|
Just Released!!
When firms spend more on additional holdings of raw
materials, parts and finished goods ________.
A) they are increasing their fixed investment
B) they are increasing their inventory investment
C) they are increasing their private consumption
D) all of the above - Answer-B) they are increasing their
inventory investment
Planned investment spending ________.
A) is equal to planned fixed investment spending plus
government investment
B) is unrelated to the real interest rate
C) is heavily influenced by expectations about the future
D) all of the above
E) none of the above - Answer-C) is heavily influenced by
expectations about the future
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A decrease in "financial frictions" is associated with
________.
A) a decrease in the credit spread
B) more efficient functioning of financial markets
C) reduced real cost of borrowing for businesses
D) an increase in planned investment spending
E) all of the above - Answer-E) all of the above
A change in which of the following causes a movement
along — not a shift in — the IS curve?
A) autonomous investment
B) autonomous net exports
C) taxes
D) real interest rate
E) all of the above - Answer-D) real interest rate
If aggregate output is above its equilibrium level
________.
A) there is an excess supply of goods
B) actual output is below planned expenditure
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C) firms will tend to replenish their low inventories driving
output up toward equilibrium
D) all of the above
E) none of the above - Answer-A) there is an excess
supply of goods
The IS curve ________ when the real interest rate
increases.
A) shifts to the right
B) shifts to the left
C) shifts up
D) all of the above
E) none of the above - Answer-E) none of the above
Only when the goods market is in equilibrium is it true that
________.
A) actual expenditure equals output
B) the amount of goods and services produced equals
actual expenditure
C) planned expenditure equals the amount of goods and
services produced
D) demand for foreign goods equals foreigners' demand
for domestic goods
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E) none of the above - Answer-C) planned expenditure
equals the amount of goods and services produced
The consumption function shows how ________.
A) the marginal propensity to consume varies with
disposable income
B) income varies as a result of changes in consumption
C) consumption depends on the decision to save
D) all of the above
E) none of the above - Answer-E) none of the above
An increase in the real interest rate will cause an increase
in ________.
A) saving
B) planned investment
C) net exports
D) all of the above
E) none of the above - Answer-A) saving
The IS curve shifts to the left when ________.
Econ 300 Final Exam || Most Recent Exam Actual
Complete Real Exam Questions And Correct
Answers||Verified Exam!!!|| (Verified Answers) Already
Graded A+ | Guaranteed Success!! | Newest Exam|
Just Released!!
When firms spend more on additional holdings of raw
materials, parts and finished goods ________.
A) they are increasing their fixed investment
B) they are increasing their inventory investment
C) they are increasing their private consumption
D) all of the above - Answer-B) they are increasing their
inventory investment
Planned investment spending ________.
A) is equal to planned fixed investment spending plus
government investment
B) is unrelated to the real interest rate
C) is heavily influenced by expectations about the future
D) all of the above
E) none of the above - Answer-C) is heavily influenced by
expectations about the future
,2|Page
A decrease in "financial frictions" is associated with
________.
A) a decrease in the credit spread
B) more efficient functioning of financial markets
C) reduced real cost of borrowing for businesses
D) an increase in planned investment spending
E) all of the above - Answer-E) all of the above
A change in which of the following causes a movement
along — not a shift in — the IS curve?
A) autonomous investment
B) autonomous net exports
C) taxes
D) real interest rate
E) all of the above - Answer-D) real interest rate
If aggregate output is above its equilibrium level
________.
A) there is an excess supply of goods
B) actual output is below planned expenditure
,3|Page
C) firms will tend to replenish their low inventories driving
output up toward equilibrium
D) all of the above
E) none of the above - Answer-A) there is an excess
supply of goods
The IS curve ________ when the real interest rate
increases.
A) shifts to the right
B) shifts to the left
C) shifts up
D) all of the above
E) none of the above - Answer-E) none of the above
Only when the goods market is in equilibrium is it true that
________.
A) actual expenditure equals output
B) the amount of goods and services produced equals
actual expenditure
C) planned expenditure equals the amount of goods and
services produced
D) demand for foreign goods equals foreigners' demand
for domestic goods
, 4|Page
E) none of the above - Answer-C) planned expenditure
equals the amount of goods and services produced
The consumption function shows how ________.
A) the marginal propensity to consume varies with
disposable income
B) income varies as a result of changes in consumption
C) consumption depends on the decision to save
D) all of the above
E) none of the above - Answer-E) none of the above
An increase in the real interest rate will cause an increase
in ________.
A) saving
B) planned investment
C) net exports
D) all of the above
E) none of the above - Answer-A) saving
The IS curve shifts to the left when ________.
