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