(03.08 LC) The policy actions taken by the government in discretion do not have much impact on the economy. Which of the following are potential weaknesses of discretionary fiscal policies?

(02.04 LC) The CPI is calculated on the basis of a basket of _____ products, but is temporarily misrepresented due to the introduction of ____ products.

(02.06 MC) The nominal GDP and real GDP of a country in 2017 were $2 trillion and $2.5 trillion respectively. In the base year, the nominal GDP was $1 trillion. What is the change in the GDP deflator from the base year to 2017?

(02.06 MC) Considering 2017 prices as the base year prices, the price of good x in 2017 was $2, and 200 units of x were produced. In 2018, the price of good x was raised to $4, and 150 units of x were produced. Which of the following is true about the real GDP?

(03.02 MC) If the marginal propensity to consume is .75 (or 75%), which of the following is true?

(02.04 LC) The consumer price index tends to ________ the substitution of lower-priced goods, which has the effect of ________ inflation.

(02.07 MC) Economists conclude that Country A is overheated and the output is about to fall. Which of the business cycle phases is referred here?

(02.04 MC) If the price of a basket of goods in the given year is $56 and the price of the basket of goods in the base year is $70, then what is the consumer price index (CPI) for the given year?

(02.07 MC) In which year did the economy above most likely have an actual unemployment rate equal to the sum of its frictional and structural unemployment rate?

(02.03 MC) An economy’s natural unemployment rate is 7 percent, its frictional unemployment rate is 2 percent, and its actual unemployment rate is 11 percent. Based on this data, its structural unemployment rate is ________, and its cyclical unemployment rate is ________.