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