#1
Which of the following is NOT considered a leading indicator in macroeconomics?
Consumer Confidence Index
Stock Market Index
Unemployment Claims
Gross Domestic Product (GDP)
#2
What does the Consumer Price Index (CPI) measure?
Inflation
Unemployment
GDP Growth
Interest Rates
#3
What is the primary purpose of the Gross Domestic Product (GDP)?
To measure the overall level of prices in the economy
To measure the total value of goods and services produced in the economy
To measure the unemployment rate in the economy
To measure the level of income inequality in the economy
#4
Which of the following is NOT included in the calculation of GDP?
Government spending
Investment in stocks and bonds
Consumer spending
Net exports
#5
Which of the following is a lagging indicator in macroeconomics?
Consumer Price Index (CPI)
Stock Market Index
Unemployment Rate
Gross Domestic Product (GDP)
#6
What is the primary goal of monetary policy?
To control inflation
To regulate government spending
To reduce income inequality
To promote economic growth
#7
Which of the following best describes the Phillips Curve?
A curve showing the relationship between inflation and unemployment
A curve showing the relationship between GDP and inflation
A curve showing the relationship between interest rates and savings
A curve showing the relationship between exports and imports
#8
What does the term 'Fiscal Policy' refer to in macroeconomics?
Government's use of taxation and spending to influence the economy
Central bank's regulation of money supply and interest rates
Government's regulation of trade and tariffs
Central bank's intervention in foreign exchange markets
#9
What does the term 'Recession' mean in macroeconomics?
A period of declining GDP and rising unemployment lasting for several months or more
A period of high inflation and low unemployment
A period of rapid economic growth and low inflation
A period of stable economic conditions with moderate GDP growth
#10
Which of the following is a measure of income inequality?
Gini coefficient
Consumer Price Index (CPI)
Producer Price Index (PPI)
Gross Domestic Product (GDP)
#11
What does the term 'Stagflation' refer to in macroeconomics?
A situation of stagnant economic growth combined with high inflation and high unemployment
A situation of rapid economic growth combined with low inflation and low unemployment
A situation of declining economic growth combined with low inflation and low unemployment
A situation of declining economic growth combined with high inflation and low unemployment
#12
What is the role of the Federal Reserve in the United States?
To conduct monetary policy and regulate banks
To set fiscal policy and control government spending
To regulate international trade and tariffs
To manage social welfare programs and unemployment benefits
#13
What is the relationship between the current account balance and the trade balance?
They are the same thing
The current account balance includes trade balance along with other components
The trade balance includes current account balance along with other components
They are unrelated
#14
What does the term 'Crowding Out' refer to in macroeconomics?
A situation where government borrowing leads to higher interest rates and reduced private investment
A situation where excessive government spending leads to inflation
A situation where increased government regulation leads to a decrease in economic activity
A situation where increased government spending leads to higher economic growth
#15
What does the term 'Aggregate Demand' refer to in macroeconomics?
Total demand for goods and services in an economy at a given price level and in a given time period
Total supply of goods and services in an economy at a given price level and in a given time period
Total investment in capital goods in an economy over a period of time
Total government spending in an economy over a period of time
#16
What is the difference between real GDP and nominal GDP?
Real GDP is adjusted for inflation, while nominal GDP is not
Nominal GDP is adjusted for inflation, while real GDP is not
Real GDP includes only goods and services produced domestically, while nominal GDP includes imports and exports
Nominal GDP includes only goods and services produced domestically, while real GDP includes imports and exports
#17
What does the term 'Laffer Curve' refer to in macroeconomics?
A graphical representation of the relationship between tax rates and tax revenue
A graphical representation of the relationship between inflation and unemployment
A graphical representation of the relationship between interest rates and investment
A graphical representation of the relationship between exchange rates and trade balance