#1
Which government agency is responsible for conducting the United States Census?
U.S. Census Bureau
ExplanationThe U.S. Census Bureau conducts the United States Census.
#2
Which government agency is responsible for issuing and regulating the U.S. currency?
Federal Reserve System
ExplanationThe Federal Reserve System is responsible for issuing and regulating the U.S. currency.
#3
What is the national debt of the United States?
The total amount of money owed by the government
ExplanationThe national debt of the United States is the total amount of money owed by the government.
#4
What is the federal funds rate, and how does it relate to monetary policy?
The rate at which banks lend to each other overnight, affecting overall interest rates
ExplanationThe federal funds rate is the rate at which banks lend to each other overnight, affecting overall interest rates and playing a crucial role in monetary policy.
#5
What is the primary purpose of the Federal Deposit Insurance Corporation (FDIC) in the U.S. financial system?
Insuring bank deposits and promoting stability in the banking system
ExplanationThe primary purpose of the Federal Deposit Insurance Corporation (FDIC) is insuring bank deposits and promoting stability in the banking system.
#6
What is the primary tool used by the Federal Reserve to implement monetary policy?
Interest rates
ExplanationInterest rates are the primary tool used by the Federal Reserve to implement monetary policy.
#7
Which economic indicator measures the average prices of a fixed basket of goods and services over time?
Consumer Price Index (CPI)
ExplanationConsumer Price Index (CPI) measures the average prices of a fixed basket of goods and services over time.
#8
What is the formula for calculating the Gross Domestic Product (GDP) using the expenditure approach?
GDP = Consumption + Investment + Government Spending + Net Exports
ExplanationGross Domestic Product (GDP) is calculated using the expenditure approach: GDP = Consumption + Investment + Government Spending + Net Exports.
#9
Which economic indicator is used to measure the overall health of the labor market and is calculated as the percentage of the labor force that is unemployed?
Unemployment Rate
ExplanationThe Unemployment Rate is used to measure the overall health of the labor market and is calculated as the percentage of the labor force that is unemployed.
#10
Which of the following is an example of a discretionary fiscal policy tool?
Government spending on infrastructure projects
ExplanationGovernment spending on infrastructure projects is an example of a discretionary fiscal policy tool.
#11
What is the role of the Council of Economic Advisers (CEA) in the United States government?
Advising the President on economic policy
ExplanationThe Council of Economic Advisers (CEA) advises the President on economic policy.
#12
In the context of fiscal policy, what does the term 'automatic stabilizers' refer to?
Government programs that automatically adjust to counter economic fluctuations
ExplanationAutomatic stabilizers are government programs that automatically adjust to counter economic fluctuations.
#13
What is the purpose of the Federal Open Market Committee (FOMC) within the Federal Reserve System?
Conducting monetary policy
ExplanationThe Federal Open Market Committee (FOMC) within the Federal Reserve System is responsible for conducting monetary policy.
#14
How does expansionary fiscal policy aim to stimulate economic growth?
Increasing government spending and cutting taxes
ExplanationExpansionary fiscal policy aims to stimulate economic growth by increasing government spending and cutting taxes.
#15
Which economic indicator measures the total value of all goods and services produced within a country's borders in a specific time period?
Gross Domestic Product (GDP)
ExplanationGross Domestic Product (GDP) measures the total value of all goods and services produced within a country's borders in a specific time period.