Test your basic knowledge |

CLEP Macroeconomics: National Income And Price Determination

Subjects : clep, economics
Instructions:
  • Answer 46 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. The relationship between the quantity of real GDP supplied and the price level when the money wage rate and all other influences on production plans remain constant






2. When Short Run Aggregate Supply decreases - Real GDP falls below Potential GDP and the price level _________.






3. The quantity of real GDP demanded equals the quantity of real GDP supplied






4. The point on a consumption function where the consumption line intersects the 45 degree line






5. Relationship between the quantity of real GDP demanded and the price level






6. Sum of the quantities of all the final goods produced in the economy






7. Slopes downward






8. Indicates simultaneous change in price level and money wage rate






9. A rise in the price level at a constant money wage rate brings a change in employment and real GDP and a movement along the ___ curve.






10. When potential GDP increases - both LAS and SAS curves shift _____.






11. Change in consumption expenditure divided by the change in disposable income






12. MPC






13. Tendency for increases in the price level to lower the purchasing power of assets of financial assets and reduce total spending in the economy






14. A rise in resource costs (labor - fuel - material - etc) will _______ SAS.






15. When AD increases - real GDP __________.






16. The change in savings divided by the change in disposable income






17. When the money wage rate rises - the SAS curve shifts ____ but the LAS curve remains unchanged.






18. Relationship between consumption expenditure and disposable income






19. Price level exceeds equilibrium price






20. Increase in AD






21. Increase in long-term growth






22. Job expectations - fiscal or monetary policy - world economy - inflation - profits






23. Relationship between saving and disposable income






24. The relationship between the quantity of real GDP supplied and the price level when real GDP equals potential GDP; potential GDP is real GDP when all the economy's labor - capital - land - and entrepreneurial ability are fully employed






25. Potential GDP






26. Economic growth






27. Economic slowdown






28. Disposable Income (DI) = Consumption(C) + Saving Consumption (S)






29. Price levels rise due to a decrease in Short Run Aggregate Supply






30. People change consumption preferences daily between domestic goods and services and foreign goods and services






31. Increased AD brings a(n) ___________ in SAS.






32. A non-price related change causes a _____ in the demand curve






33. When AD increases - the price level ________.






34. The fraction of a change in disposable income that is saved






35. The government's attempt to influence the economy by setting and changing taxes - transfer payments - and expenditures on goods and services






36. Decrease in AD






37. The value of consumption goods and services bought by households






38. Real GDP and around potential GDP






39. A rise in both the price level and the money wage rate that maintains full employment brings a movement along the ____ curve.






40. The relationship between the quantity of real GDP supplied and the price level






41. Equilibrium real GDP is below potential GDP






42. The government's attempt to influence the economy by setting and changing interest rates - the exchange rate - and the quantity of money






43. Equilibrium real GDP exceeds potential GDP






44. A persistent increase in aggregate demand that exceeds the increase in potential GDP






45. MPC + MPS






46. The ratio of change in consumption to change in income






Can you answer 50 questions in 15 minutes?



Let me suggest you:

Browse all subjects

Browse all tests

Most popular tests



Major Subjects

Tests & Exams


AP
CLEP
DSST
GRE
SAT
GMAT

Browse all subjects

Browse all tests

Most popular tests