C211 LATEST 2026 ACTUAL EXAM QUESTIONS AND
CORRECT VERIFIED ANSWERS (100%
CORRECT|GRADED A+ (GUARANTEED SUCCESS)
1. Which factor influences price elasticity demand?
a. annual interest rate
b. availability of close substitutes
c. money supply
d. world prices
2. What concept measures how many quantity supplied responds to change in price?
a. value elasticity of supply
b. cross price elasticity of demand
c. income elasticity of demand
d. price elasticity of supply
3. Which type of market operation does the federal reserve use to increase the money supply when it
buys bonds from the public in the nation's bond market?
a. Closed Market operations
b. Money Market operations
c. Value Market operations
d. Open Market operations
4. I f the government increases its purchases by $10 billion the aggregate demand for goods and services
could rise by more than $10 billion what does this illustrate?
a. exchange rate effect
b. multiplier effect
c. automatic stabilizer effect
d. crowding out effect
5. Which fiscal policy will result in rightward shift of the aggregate demand curve?
a. raising corporate taxes
b. lowering discount rate
c. expanding government purchases
d lowering reserve requirement
6. 7Which two statements describe gross domestic product (GDP). Choose 2
a. GDP is no longer used to monitor performance of the overall economy
b. GDP measures expenditures but not income
c. GDP is the most used measure of a country economic well being
d. GDP measures the market value of all final goods and services
7. A man is willing to pay $300 for a pair of boots and purchases it for $200 what does this indicate?
, a. price of the boots will fall due to market forces
b. the producer surplus will be $100
CORRECT VERIFIED ANSWERS (100%
CORRECT|GRADED A+ (GUARANTEED SUCCESS)
1. Which factor influences price elasticity demand?
a. annual interest rate
b. availability of close substitutes
c. money supply
d. world prices
2. What concept measures how many quantity supplied responds to change in price?
a. value elasticity of supply
b. cross price elasticity of demand
c. income elasticity of demand
d. price elasticity of supply
3. Which type of market operation does the federal reserve use to increase the money supply when it
buys bonds from the public in the nation's bond market?
a. Closed Market operations
b. Money Market operations
c. Value Market operations
d. Open Market operations
4. I f the government increases its purchases by $10 billion the aggregate demand for goods and services
could rise by more than $10 billion what does this illustrate?
a. exchange rate effect
b. multiplier effect
c. automatic stabilizer effect
d. crowding out effect
5. Which fiscal policy will result in rightward shift of the aggregate demand curve?
a. raising corporate taxes
b. lowering discount rate
c. expanding government purchases
d lowering reserve requirement
6. 7Which two statements describe gross domestic product (GDP). Choose 2
a. GDP is no longer used to monitor performance of the overall economy
b. GDP measures expenditures but not income
c. GDP is the most used measure of a country economic well being
d. GDP measures the market value of all final goods and services
7. A man is willing to pay $300 for a pair of boots and purchases it for $200 what does this indicate?
, a. price of the boots will fall due to market forces
b. the producer surplus will be $100
