A. Unemployment is likely to fall
B. Prices are likely to fall
C. Demand is likely to fall
D. Imports are likely to grow
Related Mcqs:
- In a boom ?
A. Surpluses are likely to occur:
B. Prices are likely to fall
C. Supply will increase immediately to match demand
D. Shortages may occur - Total increases from Rs500 to Rs600 when output increases from 20 to 30 units. Fixed costs are Rs200 Which of the following is true ?
A. Marginal cost is Rs20
B. Average cost falls
C. Variable cost rises by Rs100
D. Average fixed cost is Rs10 - When marginal revenue equals marginal cost ?
A. Total revenue equals total cost
B. There is the biggest positive difference between total revenue and total cost
C. There is the biggest negative difference between total revenue and total cost
D. Profits are Zero - Injections are?
A. Assumed to be exogenous
B. Assumed to be a function of national income
C. Decrease aggregate demand
D. Decrease the investment into an economy - An increase in interest rates ?
A. Is likely to reduce savings
B. Is likely to reduce the external value of the currency
C. Leads to a shift in the MEC schedule
D. Leads to a movement along the MEC schedule - Which of the following would be considered a supply-side policy ?
A. An increase in the minimum wage that would cause consumer spending to increase
B. Investment tax credits for businesses to encourage investment
C. Restrictions placed on the amount that can be imported
D. An increased in government spending that would lead to increased aggregate demand - If marginal cost is positive and falling ?
A. Total cost is falling
B. Total cost is increasing at a falling rate
C. Total cost is falling at a falling rate
D. Total cost is increasing at an increasing rate - If injections are greater than withdrawals ?
A. National income will increase
B. National income will decrease
C. National income will stay in equilibrium
D. Price will fall - An outward shift in the Marginal Efficiency of Capital should ?
A. Decrease consumption
B. Increase aggregate demand
C. Reduce aggregate supply
D. Slow economic growth - A group of economists argue that the real problem with the economy is high rates of taxation and heavy regulation that reduce the incentives to work save and invest these economists are ?
A. supply side economists
B. neo-Keynesian economists
C. rational -expectations economists
D. New classical economists
