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