[{"id":213539,"question":"A disadvantage of chain weighting is that","choices":[{"text":"Past inflation rates change whenever the base year changes.","value":"A"},{"text":"Past growth rates of real GDP change whenever the base year changes.","value":"B"},{"text":"It causes output growth to slow","value":"C"},{"text":"The components of real GDP don't sum to real GDP","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213538,"question":"The value of real GDP in the current year equals.","choices":[{"text":"The value of current year output in prices of the base year","value":"A"},{"text":"The value of current year output in pries of the current year","value":"B"},{"text":"The value of base year output in prices of the base year","value":"C"},{"text":"The value of base year output in prices of the current year","value":"D"},{"value":"E"}],"correctAnswer":1},{"id":213537,"question":"The government budget surplus equals","choices":[{"text":"Government purchases plus transfers","value":"A"},{"text":"Net government receipts minus government purchases","value":"B"},{"text":"Government purchases minus net receipts","value":"C"},{"text":"Government purchases minus transfers.","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213536,"question":"The value of a household's assets minus the value of its liabilities is called.","choices":[{"text":"Income","value":"A"},{"text":"Debt","value":"B"},{"text":"Stock","value":"C"},{"text":"Wealth","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213535,"question":"Net National product equals.","choices":[{"text":"Gross national product minus indirect business taxes","value":"A"},{"text":"Gross national product minus depreciation","value":"B"},{"text":"National income minus indirect business taxes","value":"C"},{"text":"National income pluses depreciation","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213534,"question":"In the expenditure approach to GDP which of the following would be excluded from measurement of GDP.","choices":[{"text":"Government payments for goods produced by foreign firms","value":"A"},{"text":"Government payments for goods produced by firms owned by state of local governemnt","value":"B"},{"text":"Government payments for welfare","value":"C"},{"text":"All government payments are included in GDP","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213533,"question":"Which of the following is not a category of consumption spending in the national income accounts.","choices":[{"text":"Consumer durables","value":"A"},{"text":"Non durable goods","value":"B"},{"text":"Services","value":"C"},{"text":"Housing Purchases","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213532,"question":"GDP difference between GNP because.","choices":[{"text":"GDP = GNP - net factor payments from abroad","value":"A"},{"text":"GNP = GDP -net factor payments from abroad","value":"B"},{"text":"GDP = GNP -capital consumption allowances","value":"C"},{"text":"GNP = GDP -capital consumption allowances.","value":"D"},{"value":"E"}],"correctAnswer":1},{"id":213531,"question":"Capital goods are","choices":[{"text":"A type of intermediate good","value":"A"},{"text":"Final goods, because they are not used up during a given year","value":"B"},{"text":"Produced in the same year as the related final good whereas intermediate goods are produced in different years.","value":"C"},{"text":"Produced in one year whereas final goods are produced over a period of more than one year","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213530,"question":"The measured of GDP includes","choices":[{"text":"Non market goods such as home making and child rearing","value":"A"},{"text":"The benefits of clean air and water","value":"B"},{"text":"Estimated values of activity in the underground economy","value":"C"},{"text":"Purchases and sales of goods produced in previous periods","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213529,"question":"To ensure that the fundamental identity of national income accounting holds changes in inventories are.","choices":[{"text":"Ignored","value":"A"},{"text":"Counted as consumption","value":"B"},{"text":"Treated as part of saving","value":"C"},{"text":"Treated as part of expenditure","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213528,"question":"The value of a producer's output minus the value of the inputs if purchases from other producers is called the producer's","choices":[{"text":"Surplus","value":"A"},{"text":"Profit","value":"B"},{"text":"Gross product","value":"C"},{"text":"Value added","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213527,"question":"While resources and products flow in one direction of the circular flow model what flow the other direction.","choices":[{"text":"Services","value":"A"},{"text":"Public goods","value":"B"},{"text":"Money","value":"C"},{"text":"Imported goods","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213526,"question":"In the product market of the circular flow model.","choices":[{"text":"Firms buy finished products from households.","value":"A"},{"text":"Consumers buy factors of production from firms","value":"B"},{"text":"Firms Sell factors of production to the government","value":"C"},{"text":"Consumers buy finished products from firms","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213525,"question":"What did economist Adam Smith identity as the \"invisible hand\" that directs the decision making of firms and households in a market economy.","choices":[{"text":"Government","value":"A"},{"text":"Product demand","value":"B"},{"text":"Self interest","value":"C"},{"text":"International trade","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213524,"question":"In a mixed economy the economic decisions of what to produce how to produce, and who will receive products are made by","choices":[{"text":"The government","value":"A"},{"text":"Consumers and firms","value":"B"},{"text":"Banks and stock markets","value":"C"},{"text":"Firms, consumers, and government.","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213523,"question":"In market economics the incentive that draws entrepreneurs into industry is.","choices":[{"text":"Government bonuses for meeting production quotas","value":"A"},{"text":"Profit","value":"B"},{"text":"Government assumption of the risk of failure","value":"C"},{"text":"Government assistance with making output and pricing decisions","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213522,"question":"Economic planning by enteral government agencies is primarily associated with","choices":[{"text":"command economies","value":"A"},{"text":"Market economies","value":"B"},{"text":"Laissez faire economies","value":"C"},{"text":"Market faire economies","value":"D"},{"value":"E"}],"correctAnswer":1},{"id":213521,"question":"The quantity of Y demanded increases by 6% when income changes, and income elasticity of demand is -0.9 income","choices":[{"text":"Decreased by 5.4 %","value":"A"},{"text":"Decreases by 8%","value":"B"},{"text":"Increased by 15%","value":"C"},{"text":"Decreased by 6.7 %","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213520,"question":"Firm A's margin of safety is.","choices":[{"text":"0.10","value":"A"},{"text":"0.40","value":"B"},{"text":"0.20","value":"C"},{"text":"0.30","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213519,"question":"Firm A's annual profit is.","choices":[{"text":"Rs.10,000","value":"A"},{"text":"Rs.20,000","value":"B"},{"text":"Rs.30,000","value":"C"},{"text":"Rs.60,000","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213518,"question":"A firm A's break even quantity is.","choices":[{"text":"10 units","value":"A"},{"text":"40 units","value":"B"},{"text":"50 units","value":"C"},{"text":"30 units","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213517,"question":"When the marginal physical product of labor is 800 - 2N , the price of goods is Rs. 2, and the cost of labor is Rs. 4 per unit, the quantity of labor employed is.","choices":[{"text":"20 Units","value":"A"},{"text":"800 Units","value":"B"},{"text":"399 Units","value":"C"},{"text":"80 units","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213516,"question":"Projects A,B,C,D,E cost Rs. 100, Rs, 200, Rs. 300, Rs. 400, and Rs. 500 with MEC's of 0.07, 0.06,0.09 ,0.10 and 0.11 respectively. The market rate of interest is 8% Total investment spending is","choices":[{"text":"Rs. 1500","value":"A"},{"text":"Rs.1300","value":"B"},{"text":"Rs.1200","value":"C"},{"text":"Rs.300","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213515,"question":"The expected profit from the profit distribution above is.","choices":[{"text":"40 units","value":"A"},{"text":"60 units","value":"B"},{"text":"100 units","value":"C"},{"text":"20 units","value":"D"},{"value":"E"}],"correctAnswer":1},{"id":213514,"question":"If the estimated values of Y and Py in 1987 are Rs. 20,000 and Rs. 6 respectively, what is the maximum price of X.","choices":[{"text":"Rs.420","value":"A"},{"text":"Rs.240","value":"B"},{"text":"Rs.300","value":"C"},{"text":"Rs.360","value":"D"},{"value":"E"}],"correctAnswer":4},{"id":213513,"question":"If the estimated values of Y and Py in 1987 are Rs. 30,000 and Rs. 8 respectively the marginal revenue of X is.","choices":[{"text":"260 - 160 x","value":"A"},{"text":"420 - 4Qx","value":"B"},{"text":"240 - 16 Px","value":"C"},{"text":"80 - 4Qx","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213512,"question":"Company A estimates the price elasticity of demand for its products.3.0 The price of the product is Rs. 15. If MC = 2+40, the profit maximizing level of output.","choices":[{"text":"4 units","value":"A"},{"text":"2 umits","value":"B"},{"text":"5 units","value":"C"},{"text":"3 units","value":"D"},{"value":"E"}],"correctAnswer":2},{"id":213511,"question":"If there is no price surprise, total output is.","choices":[{"text":"50","value":"A"},{"text":"150","value":"B"},{"text":"400","value":"C"},{"text":"200","value":"D"},{"value":"E"}],"correctAnswer":3},{"id":213510,"question":"The short term interest rates on bonds over the next 5 years is 6% , 7%, 9% ,10% and 8% according to the expectations Hypothesis, the interest rates on bonds with 5 years to maturity will be.","choices":[{"text":"6%","value":"A"},{"text":"8%","value":"B"},{"text":"10%","value":"C"},{"text":"9%","value":"D"},{"value":"E"}],"correctAnswer":2}]