46. Disposable personal income is equal to:
a. Personal income minus personal tax payments
b. Personal income minus government transfer payments.
c. The income households have to consume, save, and pay taxes.
d. Personal income minus Social Security payments.
47. When one producer can create a given amount of output with fewer inputs, what exists?
a. Comparative advantage
b. Comparative disadvantage
c. Absolute advantage
d. Absolute disadvantage
48. A given country has 167 million capita of which a labor force of 102 million people, with 73.5 million people employed full time, 16.2 million part-timers, 5.5 discouraged workers and 12 million under age. What is this country's unemployment rate?
49. The Supply Curve is upward-sloping because:
a. As the price increases, so do costs
b. As the price increases, consumers demand less.
c. As the price increases, suppliers can earn higher levels of profit or justify higher marginal costs to produce more.
d. All of the Above
50. When college students leave town for the summer, the demand for meals at the local restaurants declines. This results in
a. a decrease in equilibrium price and an increase in quantity.
b. an increase in equilibrium price and quantity.
c. a decrease in equilibrium price and quantity
d. An increase in equilibrium price, and a decrease in quantity.
51. All the following shift the demand curve for automobiles to the right except:
a. the local factory gives a big raise to its employees
b. A new brand automobile dealership opens in town.
c. the price of gasoline falls
d. None of the Above
52. Judgments about "what ought to be" in economic matters. Can't be proven false, based on judgments
a. Macroeconomics
b. Positive economics
c. Normative economics
d. Microeconomics
53. Total real output can be determined by:
a. multiplying total hours of work times labor productivity
b. multiplying total wages paid times output per hour of work
c. dividing total wages paid by labor productivity
d. dividing total hours of work by labor productivity
54. An economic condition in which rising prices and unemployment occur at the same time is called--------------------------
a. cost-push inflation
b. demand-pull inflation
c. stagflation
d. deflation
55. The war in Iraq sent oil prices spiraling upwards, resulting in an increase in the overall price level. This is an example of which type of inflation?
a. Cost-pull
b. Demand-pull
c. Demand-push
d. Cost-push
56. Which of the following explanations of business cycles have been forwarded by economists?
a. Changes in productivity
b. Changes in the money supply
c. Changes in the level of total spending
d. All of the above
57. The "full employment rate of unemployment" is:
a. zero percent
b. considerably higher in 2008 than it was in the mid-1980s
c. around 4.5% - 5.5% because of cyclical unemployment
d. around 4.5% - 5.5% because of frictional and structural unemployment
58. Economies of scale are defined as ------------------------------------------------------------------------------
59. Which of the following are the largest two sources of federal government revenues?
a. Revenue from tariffs and other fees
b. corporate income taxes and sales taxes.
c. Individual income taxes and social insurance taxes
d. Excise and other taxes
60. A company of the US has excess products that it does not want to sell into the US market because it will bring down the domestic price and instead sells it at another country at below the cost of production. What is this called?
a. International trade
b. Countervailing.
c. Dumping
d. None of the above
