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AP Macroeconomics

Subjects : economics, ap
Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. A curve defining the relationship between real production and price level.






2. Significantly responsive to a change in price.






3. An industry structure in which there is only one seller for a product.






4. When the percent of change in the quantity demanded equals the percent of change in price.






5. The addition to total revenue created by selling one additional unit of ouput.






6. A shift in the demand curve resulting from consumer expectations regarding future income or future price of Goods and Services.






7. The sum of each individual consumer's demand curves for a certain good in a market (e.g. - all the individual quantities of Good B demanded at each price).






8. A period of slow economic growth - usually accompanied by rising unemployment; two consecutive quarters of declining output.






9. The proportion of each additional dollar of income that is saved.






10. A good for which there is less demand as income rises; a good the demand for which falls as income rises and rises as income falls; consumer income rises while demand decreases.






11. Where the demand curve is horizontal - reflecting situation in which any change in price reduces quantity demanded to '0.' the result of a competitive market consumers will go elsewhere to purchase the product.






12. Price control set when the market price is believed to be too high.






13. The proportion of each additional dollar of income that will go toward consumption expenditures.






14. Goods that go together - if price ? the demand for both that good and complimentary good ?.






15. The long-run pattern of growth and recession.






16. A very high rate of inflation - under which prices go up very rapidly - often more than 1 -000 percent in a year. This causes money to become a poor store of value.






17. Occurs when supply and demand are balanced such that the market price and the quantity exchanged are under no market pressure to change.






18. The percentage of the civilian labor force that is unemployed. The number of persons unemployed divided by the number of persons in the civilian labor force (expressed as a percentage).






19. A shift of the demand curve resulting from a change in consumer taste and preferences.






20. When Price and TR move in opposite directions..... P?/TR? or P?/TR?






21. Total revenue (TR) price of a good multiplied by the number of units sold; TR = P*Q.






22. A Latin phrase meaning 'all things constant.'






23. Restrictions on the quantity of a good that can be imported






24. Rising prices - across the board.






25. A civilian - non-institutionalized adult is considered to be unemployed when he or she does not have a job but is actively looking for one; unemployment figures reflect the number of individuals meeting this definition who are parts of the labor forc






26. Results an increase in the demand for normal goods and a decrease in the demand for inferior goods.






27. A person who has been unemployed and searching for a job for so long - that they have given up on finding a job and therefore forfeit unemployment.






28. Movement up or down a single demand curve - contrasted with movement of the demand curve itself.






29. The graphical representation of the law of demand. Shows the amount of a good buyers are willing and able to buy at various prices.






30. A comprehensive group of statistics that measures various aspects of the economy's performance - net exports exports minus imports.






31. Mathematical approximation used to measure the effect of economic growth; this rule tells us the approximate number of years it will take for some measure (real GDP - price level - savings account - etc.) to double given a known annual percentage inc






32. The sum of all the quantities of a good supplies by all producers at each price.






33. (population); Then there is a shift in the demand curve resulting from and increase or decrease in market demand - as specific consumption related to demographics is concerned.






34. The lowest point of a business cycle






35. Law stating that as a price of a good increases - the quantity demanded of the good decreases - and vice versa.






36. A bad depressingly prolonged recession in economic activity.






37. When consumers substitute a similar - lower priced product for a product which is relatively more expensive.






38. Anything from the land and/or nature. Ex: minerals - timber - petroleum - cotton.






39. An increase or decrease in consumer income will cause a shift in the Demand Curve.






40. The dollar value of all the goods and services sold to house holds.






41. The income earned by households and profits earned by firms after subtracting.






42. A relationship between two factors in which the factors move in the same direction.






43. The branch of economics that deals with human behavior and choices as they relate to relatively small units--the individual - the business firm - a single market.






44. Fluctuations in real GDP around the trend value; also called economic fluctuations.






45. When the price of one currency falls relative to another currency - the first currency has depreciated relative to the other one.






46. The efforts of entrepreneurs in organizing resources for production taking risk to create new enterprises and innovating to develop new product.






47. Unemployment faced by workers who have lost their jobs because of changing market (demand) conditions & whose skills don't match the requirements of available jobs.






48. The dollar value of production by a country's citizens.






49. The payment that capital receives in the factor market.






50. Changes - adjustments - and strategies that the governments implements in spending or taxation to achieve particular economic goals.