#1
Which of the following is an example of fiscal policy?
Changing interest rates by the central bank
Increasing government spending on infrastructure
Adjusting the money supply in the economy
Regulating the stock market
#2
What does GDP stand for?
Global Demand Production
Gross Domestic Product
Government Development Program
General Development Procedure
#3
What does the term 'opportunity cost' refer to in economics?
The cost of purchasing opportunities
The total cost of production
The value of the next best alternative foregone
The cost of resources used in production
#4
Which of the following is a characteristic of a monopolistic competition market structure?
Many sellers offering identical products
A single seller with significant market power
Product differentiation among sellers
Complete absence of competition
#5
Which economic indicator measures the average change in prices of goods and services over time?
Gross Domestic Product (GDP)
Consumer Price Index (CPI)
Unemployment rate
Inflation rate
#6
Which economic concept is defined as the total value of goods and services produced within a country's borders in a specific time period?
Inflation rate
Trade deficit
Gross Domestic Product (GDP)
Consumer Price Index (CPI)
#7
What is the primary objective of monetary policy?
To control inflation and stabilize prices
To regulate government spending
To promote international trade
To address income inequality
#8
What is the term for a situation where a country can produce a good at a lower opportunity cost than another country?
Absolute advantage
Comparative advantage
Trade surplus
Trade deficit
#9
Which of the following is a tool used by central banks to control the money supply?
Fiscal policy
Monetary policy
Supply-side policy
Trade policy
#10
Which of the following is not considered a factor of production in economics?
Labor
Capital
Technology
Demand
#11
Which economic theory suggests that governments should increase spending and lower taxes during economic downturns?
Supply-side economics
Classical economics
Keynesian economics
Monetarism
#12
What does the term 'ceteris paribus' mean in economics?
All else being equal
Change is constant
For the good of all
Economic equilibrium
#13
According to the law of demand, what happens to quantity demanded when price increases, ceteris paribus?
Quantity demanded decreases
Quantity demanded increases
Quantity demanded remains constant
There is no relationship between price and quantity demanded
#14
What economic concept describes the additional utility gained from consuming one more unit of a good or service?
Marginal cost
Marginal utility
Average cost
Total utility
#15
What is the term for the situation where there is a prolonged period of declining economic activity combined with high unemployment?
Recession
Stagflation
Depression
Expansion