Answers EAP-Economics and Personal Finance BUnit Test

Unit Test Answers

0 verified answers

Free Preview

Cost-push inflation occurs when

consumers begin purchasing more goods.

producers need more money to make and distribute goods.

the government prints more money and pushes prices up.

consumers have more money to spend on goods and services.

Free Preview

Which of the following best describes the circular flow model?

The model represents the movement of money throughout the economy.

The model represents the interactions within sectors.

The model represents the flow of goods and services between sectors.

The model represents the changing relationships between actors.

What are the signs of low inflation? Check all that apply.Demand steadily rises.Demand steadily falls.Prices continue to increase.Prices continue to decrease.The economy grows in a healthy way.The economy stagnates and struggles.

Demand steadily rises.

Demand steadily falls.

Prices continue to increase.

Prices continue to decrease.

The economy grows in a healthy way.

The economy stagnates and struggles.

As a result of decreased production, David lost his job designing cars. Which terms can be used to describe David? Select two options.cyclically unemployeddomestically unemployedfrictionally unemployedstructurally unemployedstill employedunemployed

cyclically unemployed

domestically unemployed

frictionally unemployed

structurally unemployed

still employed

unemployed

What term is used in macroeconomics to describe the total supply and the total demand?

capital

inflation

aggregate

equilibrium

What is the difference between inflation and deflation?

Inflation can result from falling demand and boosts the value of money. Deflation can result from rising demand and reduces the value of money.

Inflation can result from rising demand and boosts the value of money. Deflation can result from falling demand and reduces the value of money.

Inflation can result from falling demand and reduces the value of money. Deflation can result from rising demand and boosts the value of money.

Inflation can result from rising demand and reduces the value of money. Deflation can result from falling demand and boosts the value of money.

Read the paragraph.Government officials in Country M have determined that they need to take action to encourage the growth of their economy. To do this, they have introduced an incentive policy that offers citizens free education. This is extended to all individuals who sign a contract agreeing to work within their specific industry for the next ten years.Country M hopes to encourage economic growth by investing in

education to reduce unemployment and increase production.

new technologies to produce goods that are in great demand.

resources that can be traded with other nations.

research to develop goods that can be sold on a global scale.

How do consumers’ feelings about the economy help contribute to growth?

Positive consumer attitudes influence spending habits.

Positive consumer attitudes increase job prospects.

Positive consumer attitudes inspire increased production.

Positive consumer attitudes can end a depression.

What decisions does the business cycle help businesses make? Choose four answers.whether to stay at old facilities or move to new facilitieswhether to grow or shrink the businesswhether to keep or change productswhether to increase or decrease productionwhether to hire or lay off workerswhether to invest or save money

whether to stay at old facilities or move to new facilities

whether to grow or shrink the business

whether to keep or change products

whether to increase or decrease production

whether to hire or lay off workers

whether to invest or save money

private closefactor

private

factor

nominal measurementconsumer price indexannual rateUS Bureau of Labor statistic

nominal measurement

consumer price index

annual rate

US Bureau of Labor statistic

In the circular flow model, factors of production flow to firms. Which of the following are the primary factors of production? Check all that apply.laborcapitalgoodslandservices

labor

capital

goods

land

services

What is the name of the period when an economy begins to shrink?

recession

depression

recovery

peak

This graph shows changes in GDP and the unemployment rate in the United States in recent years.Which statement most accurately describes the trends shown on this graph?

When GDP falls, unemployment rises.

GDP and unemployment have little to do with each other.

When GDP rises, unemployment rises as well.

GDP and unemployment rise at times of world crises.

When individuals are looking for jobs but are unable to find work, they are said to be .

Answer not available

Did you find these answers helpful?

Unit Test Answers

More from this Course

TRY EDGENUITY HACKS