Miscellaneous Economics Mcqs

A. aggregate supply will increase , aggregate demand will decrease
B. aggregate supply will increase, aggregate output will increase and the price level will decrease
C. aggregate supply will increase aggregate output will increase and the price level will increase
D. both aggregate supply and demand will increase and the price level will increase

A. supply side economists
B. neo-Keynesian economists
C. rational -expectations economists
D. New classical economists

A. the level of national income
B. the level of aggregate demand
C. the rate of change of national income
D. expectations

A. an increase in income and an increase in overall saving
B. a decrease in income and an overall decrease in saving
C. a decrease in income but an increase in saving
D. an increase in income but no overall change in saving

A. 1/MPS
B. 1/(1+ MPC)
C. 1 – MPC
D. 1/MPC

A. 5
B. 8
C. 2
D. 1.25

A. aggregate output equals consumption minus investment
B. saving equals consumption
C. Planned aggregate expenditure equals aggregate output
D. planned aggregate expenditure equals consumption

A. the fiscal stance
B. the tax multiplier
C. the marginal tax propensity
D. the average tax propensity

A. the average amount of income that is saved
B. the fraction of a change in income that is saved
C. the ratio of saving to income
D. the ratio of income to saving

A. income tax and social security payments
B. taxes and the addition of benefits
C. income tax
D. contractual payments such as pensions and mortgages