?????? Lesson 3 ??? Question 1 5 ??/ 5 points The fraction of th

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Lesson 3
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Question 1

5 ??/ 5 points
The fraction of the working-age population that is in the labor force is called the __________.
Question options:
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employment rate
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unemployment rate
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labor force participation rate
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nonresponse rate
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Question 2

5 ??/ 5 points
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Economists say that the economy is at "fullemployment" when the __________.
Question options:
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structural unemployment rate is ??zero
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total unemployment rate is zero
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frictional unemployment rate is ??zero
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cyclical unemployment rate is zero
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Question 3

5 ??/ 5 points
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The value of a dollar __________.
Question options:
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is its purchasing power
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remains constant over time
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is its face value
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is set by the government
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Question 4

5 ??/ 5 points
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What does the Consumer Price Index (CPI. measure?
Question options:
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prices of durable goods
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prices of non-durable goods
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the cost of living over time
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the cost of replacing lost items
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Question 5

5 ??/ 5 points
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What are the two critical measures of a nation’s economic health?
Question options:
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income and spending
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sales and taxes
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wages and raises
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production and income
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Question 6

5 ??/ 5 points
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The value of all final goods and services produced during a given time period measures a nation’s __________.
Question options:
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gross domestic product
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net national product
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consumer price index
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net exports
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Question 7

5 ??/ 5 points
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Economists define the unemployed as individuals who are __________.
Question options:
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not currently working
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not currently working but are ??actively looking for work
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working but looking for a ??different job
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working less than their desired ??amount of time
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Question 8

5 ??/ 5 points
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Which of the following would be a macroeconomic question?
Question options:
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How have the retirement benefits ??in the auto industry changed over time?
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How has inflation increased over ??time?
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How has the price of gold ??increased over time?
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How has the number of commercial ??airline flights decreased over time?
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Question 9

5 ??/ 5 points
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If Sam does not have a job and is not looking for work, he is considered __________.
Question options:
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unemployed and in the labor force
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unemployed and not in the labor ??force
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not in the labor force
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unemployed
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Question 10

5 ??/ 5 points
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If you negotiated a salary based on an anticipated inflation rate of 4 percent, and the actual inflation rate turned out to be 6 percent, __________.
Question options:
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the purchasing power of your real ??wages would be more than you anticipated
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your employer would have gained at ??your expense
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your real wage will increase, but ??your nominal wage will decrease
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the purchasing power of your wages ??will not change, since purchasing power is based on your nominal wage
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Question 11

5 ??/ 5 points
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The labor supply and demand most directly affect the level of __________ in an economy.
Question options:
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people attending colleges
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people requiring retraining
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employment
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welfare benefits
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Question 12

5 ??/ 5 points
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Macroeconomics __________.
Question options:
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studies the behavior of individual ??consumers, firms, and markets
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studies the behavior of the ??economy as a whole
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involves the interaction between ??different countries in specific markets
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studies how computer automation ??has changed economics
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Question 13

5 ??/ 5 points
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The Consumer Price Index (CPI. differs from a chain-weighted price index in that the CPI __________.
Question options:
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requires calculation of GDP, while ??the chain-weighted index does not
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measures the costs of a typical ??fixed basket of goods over time, while the chain-weighted index does not
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allows for the goods consumed in ??an economy to change over time, while the chain-weighted index does not
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compares the prices of all goods ??in one year to the prices of all goods in other years
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Question 14

5 ??/ 5 points
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The index most widely used by the government and the private sector to measure changes in the cost of living is the __________.
Question options:
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Producer Price Index
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Consumer Price Index
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the GDP deflator
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the chain-weighted price index
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Question 15

5 ??/ 5 points
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Suppose the stock of capital remains constant. By adding more labor, perhaps a second work shift, output __________.
Question options:
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decreases
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increases
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remains the same
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becomes more costly
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Question 16

5 ??/ 5 points
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Suppose that nominal GDP in year 1 is 200 and nominal GDP in year 2 is 242. Assume that inflation is 10 percent per year. How fast did the economy grow between these two years?
Question options:
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10 percent
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12 percent
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21 percent
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42 percent
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Question 17

5 ??/ 5 points
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The circular flow is used to make the point that __________.
Question options:
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rising prices never occur during ??times of unemployment
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unemployment only occurs during a ??recession
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production generates income
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households purchase factors of ??production from firms
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Question 18

5 ??/ 5 points
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The unemployment rate is the number of unemployed people __________.
Question options:
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divided by the number of people ??who are working
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divided by the total working-age population
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divided by the sum of the number ??of people who are working and the number of people who are looking for work
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and the number of people working ??fewer than their desired number of hours, divided by the number of people who ??are working or looking for work
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Question 19

5 ??/ 5 points
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The largest component of GDP is __________.
Question options:
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government spending
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consumption expenditures
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private investment expenditures
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net exports
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Question 20

5 ??/ 5 points
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We measure gross domestic product by multiplying the quantities of goods by their prices because it allows us to __________.
Question options:
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express the values of products in ??a common unit of measurement
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correct for inflation
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directly compare the output of one ??economy to that of another
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calculate the total number of ??units of goods produced in an economy