PPSC Economics Chapter 3 Macro Economics

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  • Chapter NameMacro Economics

PPSC Economics Chapter 3 Macro Economics

  • Total Questions20

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PPSC Economics Chapter 3 Macro Economics

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Question # 1

The fraction of additional current income that a person consumes in the current period is known as the

Question # 2

Suppose there is full employment and a neoclassical aggregate supply schedule A 105 increases in the nominal money supply.

Question # 3

Given the data above, the empirical equation for the IS curve is.

Question # 4

Friedman and phelps suggested that there should not be a stable relationship between inflation and unemployment, but here should be a stable relationship between

Question # 5

In the Keynesian model in the short run a decrease in government purchases causes output to _____ and the real interest rate to.

Question # 6

In the long run an increase in government purchases of military equipment would cause output to _________ and the aggregate price level to

Question # 7

Quality controlleers at the LMN corporation formulate the null hypothesis that the proportion of defective items in the production line is 10% they reject this hypothesis when they find 12 defective items in 100. If the defective rate is really 10% What type of error did they make.

Question # 8

Which of the following is an economic activity.

Question # 9

If the quantity of money demands is less than the quantity of money supplied then the interest rate will.

Question # 10

The costs of disinflation would be low if

Question # 11

The short run impact of unanticipated expansionary monetary policy is that.

Question # 12

Which of the following changes shifts the SRAS curve down.

Question # 13

Keynes considered subjective and objective factors.

Question # 14

Which of the following is a NOT component of M-2.

Question # 15

Which theory is generally included under micro economics.

Question # 16

Suppose your company is in equilibrium with its capital stock at the desired level A permanent decline in the expected real interest rate now has what effect on your desired capital stock

Question # 17

If the sampi is accepted as coming from a universe with a mean of Rs.500 or greater when if doesn't.

Question # 18

Full- employment output is the level of output that firms in the economy supply when

Question # 19

An increase in autonomous net exports

Question # 20

The regression results indicate that the standard error of estimate is.

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