#1
Which of the following is NOT a characteristic of economic instability?
High inflation rates
Stable unemployment rates
Fluctuating exchange rates
Volatility in stock markets
#2
What does GDP stand for?
Gross Domestic Product
Growth Development Pattern
Governmental Demand Potential
General Development Policy
#3
What is the primary indicator used to measure economic growth?
Unemployment rate
Gross Domestic Product (GDP)
Inflation rate
Consumer Price Index (CPI)
#4
During economic instability, which of the following is likely to occur?
Decrease in government spending
Increase in consumer confidence
Stable interest rates
Rise in income inequality
#5
Which of the following is a consequence of economic instability?
Decrease in income inequality
Increase in investor confidence
Volatility in financial markets
Stable exchange rates
#6
What is the primary objective of monetary policy during times of economic instability?
Stimulating economic growth
Controlling inflation
Reducing government spending
Increasing income taxes
#7
Which of the following is an impact of economic instability on GDP?
Steady economic growth
Consistent increase in exports
Decreased consumer spending
Rising investment levels
#8
What is the name for a period of declining GDP, typically lasting two consecutive quarters?
Economic boom
Economic recession
Economic expansion
Economic stability
#9
What does the term 'stagflation' refer to?
High economic growth accompanied by low inflation
A period of low economic growth combined with high inflation
Stable economic conditions with moderate inflation
Rapid economic expansion without inflation
#10
Which of the following is a tool used by central banks to stabilize the economy?
Fiscal policy
Monetary policy
Trade policy
Industrial policy
#11
Which of the following factors contributes to economic instability?
Low government debt
Stable financial institutions
Unpredictable fiscal policies
Consistent trade surplus
#12
What is the term for a situation where the rate of inflation exceeds the rate of wage growth?
Stagflation
Deflation
Hyperinflation
Cost-push inflation
#13
Which economic theory suggests that government intervention is necessary to stabilize the economy during times of economic instability?
Keynesian economics
Monetarism
Supply-side economics
Classical economics
#14
What is the name for the situation when an economy experiences negative GDP growth for an extended period?
Economic depression
Economic boom
Economic recession
Economic expansion
#15
Which of the following is an indicator of economic instability?
Stable employment levels
Consistent trade surplus
High debt-to-GDP ratio
Low interest rates
#16
Which of the following measures the percentage change in the prices of goods and services over time?
Gross Domestic Product (GDP)
Consumer Price Index (CPI)
Unemployment rate
Exchange rate
#17
Which of the following factors is a leading cause of economic instability during the business cycle?
Technological advancements
Population growth
Monetary policy
Natural disasters