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Test your basic knowledge |
CLEP Macroeconomics: International
Start Test
Study First
Subjects
:
clep
,
economics
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 global market in which the currency of one country is exchanged for the currency of another country
foreign exchange market
Balance of International Payments
supply factors of economic growth
decrease
2. Small tariffs put in place so the government can earn tax revenue
classical growth theory
General Agreement of Tariff and Trade
revenue tariffs
protective tariffs
3. Excise taxes on imported goods
protective tariffs
how Fed influences exchange rate
tariffs
exports
4. Nations with advanced industries are better at producing these kinds of commodities
comparative advantage
imports
rightward
capital-intensive
5. Shows the options one nation has by specializing in one product and trading another
other industries and consumers
trading possibilities line
three factors that determine how much money will be demanded
exports
6. A change in this brings about a change in how much a country is willing to sell of its currency
exchange rate
supply side growth policies
Balance of International Payments
land-intensive
7. A tracking of the investments made and loans extended to other countries
capital account
new growth theory
non-tariff barriers
supply factors of economic growth
8. If the interest rate decreases - the demand for the currency will
foreign exporter
increase
supply side growth policies
the one-third rule
9. The relationship between real GDP per hour of work and capital per hour of work
increase
domestic government
productivity function
exports
10. A forum for negotiating reduction of tariff barriers on a multilateral level
productivity function
capital-intensive
increase
General Agreement of Tariff and Trade
11. Increase aggregate demand during recession
other industries and consumers
supply factors of economic growth
demand side growth policies
supply of dollars
12. Relationship between the quantity of currency to be sold and the exchange rate is the...
supply of dollars
import quotas
foreign exchange market
trade in similar goods
13. Specify maximum import levels for specific commodities
non-tariff barriers
import quotas
classical growth theory
land-intensive
14. LAS curve shifts this way to indicate economic growth
capital account
other industries and consumers
rightward
trade in similar goods
15. Quotas increase the domestic price of the good and the increased revenue goes to the...
depreciates
foreign exporter
growth accounting
General Agreement of Tariff and Trade
16. Licensing agreements - imposed product standards or levels of 'red tape' that a foreign producer must meet or qualify for before being allowed to export it
non-tariff barriers
increase
supply side growth policies
neoclassical growth theory
17. The total output will be greatest when each good is produced by that nation that has the lower opportunity cost for that good
comparative advantage
opportunity cost
exchange rate
revenue tariffs
18. A change in interest rates or a change in the expected future exchange rate changes the _________ for dollars.
demand
capital account
supply of dollars
new growth theory
19. By the supply and demand in the foreign exchange market
trading possibilities line
change in interest rate
new growth theory
how exchange rate is determined
20. Records all the transactions that take place between residents and foreign nations
Balance of International Payments
imports
foreign exchange market
protective tariffs
21. Growth potential cannot be reached unless AD increases and new resources are used...
balance of trade
neoclassical growth theory
supply factors of economic growth
efficiently/fully
22. An increase in real GDP that occurs over time
new growth theory
General Agreement of Tariff and Trade
economic growth
revenue tariffs
23. Work to achieve full production or capacity potentials
supply side growth policies
increase
classical growth theory
efficiently/fully
24. A tracking of all export and import goods and services
three factors that determine how much money will be demanded
current account
outward
labor-intensive
25. By influencing interest rates and direct intervention in the foreign exchange market
industrial growth policies
exports
how Fed influences exchange rate
outward
26. As the value of a nation's currency increases the exports of that nation will ________.
other industries and consumers
outward
neoclassical growth theory
decrease
27. The addition of all goods and services in the current account
import quotas
rightward
supply of dollars
balance of trade
28. A theory of economic growth that believes growth is driven by technological change
other industries and consumers
neoclassical growth theory
revenue tariffs
tariffs
29. Is the price at which the currency of one country is exchanged for the currency of another country
appreciates
General Agreement of Tariff and Trade
non-tariff barriers
foreign exchange rate
30. A theory of economic growth based on the idea that technological change results from people's choices and pursuit of profit
new growth theory
Balance of International Payments
trading possibilities line
revenue tariffs
31. Nations with a more highly skilled and larger workforce are better at producing these kinds of commodities
labor-intensive
supply side growth policies
trading possibilities line
decrease
32. Advocate government taking an active role in the structure and composition of industry
depreciates
current account
appreciates
industrial growth policies
33. Occurs because of diversity of taste and economies of scale
neoclassical growth theory
trade in similar goods
new growth theory
the one-third rule
34. What you give up to get what you want
industrial growth policies
supply of dollars
change in interest rate
opportunity cost
35. PPC shifts this way to indicate economic growth
depreciates
General Agreement of Tariff and Trade
outward
specialization and increased production
36. The attempt to measure the contributions to growth of labor - capital - and technological change
change in interest rate
growth accounting
capital account
comparative advantage
37. If the number of Nation B's dollars that a Nation A dollar buys increases - then Nation A's dollar ___________.
economic growth
appreciates
growth accounting
labor-intensive
38. If the number of Nation B's dollars that Nation A buys decreases - then Nation A's dollar ___________.
decrease
efficiently/fully
depreciates
other industries and consumers
39. Shield domestic producers from foreign competition
new growth theory
how exchange rate is determined
protective tariffs
increase
40. These create a foreign need for domestic money
three factors that determine how much money will be demanded
exports
economic growth
new growth theory
41. Benefits of international trade
free trade
balance of trade
specialization and increased production
protective tariffs
42. A theory of economic growth based on the view that population growth is determined by income per person
classical growth theory
revenue tariffs
comparative advantage
industrial growth policies
43. These create a domestic need for foreign money
industrial growth policies
imports
three factors that determine how much money will be demanded
specialization and increased production
44. The absence of government barriers to trade among firms and individuals in different nations
current account
outward
free trade
three factors that determine how much money will be demanded
45. Government interference in protecting certain industries comes at the expense of...
opportunity cost
how Fed influences exchange rate
demand
other industries and consumers
46. Imposed on goods not produced domestically
trade in similar goods
revenue tariffs
supply of dollars
non-tariff barriers
47. Protective tariffs increase the domestic price of a good and the increased revenue goes to the...
how Fed influences exchange rate
domestic government
outward
protective tariffs
48. An x percent increase in capital per hour of work brings a 1/3 of x percent increase in output per hour of work
balance of trade
specialization and increased production
domestic government
the one-third rule
49. The exchange rate - interest rates in that country and other countries - and the expected future exchange rate
three factors that determine how much money will be demanded
capital account
supply of dollars
opportunity cost
50. Nations with a larger available land mass are better at producing these kinds of commodities
domestic government
tariffs
land-intensive
efficiently/fully