Reference no: EM133077855

Directions: Read the questions carefully. Encircle the correct answer.

1. If there is cyclical unemployment in the economy the govern

a. increase interest rates
b. encourage savings
c. cut income tax

2. To reduce cyclical unemployment the government might:

a. increase the budget surplus
b. increase balance of payment
c. impose law interest rates
d. encourage savings

3. The natural rate of unemployment is likely to fall if:

a. unemployment benefits increase
b. income tax increases
c. more training for the unemployed
d. geographical immobility increases

4. What is the 'nature-focused' account of hunger?

a. no enough food to go around
b. hunger is a distribution problem
c. hunger is a part of human nature
d. none from ABC

5. According to critical alternative views, poverty is a

a. monetary condition brought about by people's own laziness.
b. monetary condition where people do not have enough to satisfy needs.
c. monetary and non-monetary condition and people lack access to regulated resources, opportunities and income.
d. all of the options given are correct.

6. To boost economic growth the government is most likely to:

a. increase interest rates
b. increase taxation rates
c. provide incentives to invest
d. provide incentives to save

7. Potential growth measures the:

a. growth of the fastest economy in the world
b. fastest growth an economy has ever achieved
c. present rate of growth of an economy
d. growth rate that could be achieved if resources were fully emploved

8. In a potential economic growth rate:

a. unemployment is likely to fall
b. prices are likely to fall
c. demand is likely to fall
d. imports are likely to fall

9. In consumer behavior the culture, social class, and reference group influences have been related to purchase and

a. economic situations
b. situational influences
c. consumption decisions
d. physiological influences

10. Changes in consumer values have been recognized by entrepreneurs expanding

a. latest technology
b. timesaving and convenience-oriented
c. health related
d. communication