stud
bud
Sign up
Log in
Home
Library
Explore
SAT
More
AP Macro Free Response Graphing Quiz Flashcards | StudBud
Explore
/
AP Macro Free Response Graphing Quiz
AP Macro Free Response Graphing Quiz
25 terms
·
StudBud Administration
·
672 plays
Imported from external platform
Flashcards
25 cards
F
Practice quiz
P
Host live
L
Questions
25
Answers
1
If a customer withdrawals all of the banks cash, how can the bank meet the reserve requirement?
borrow from the Treasury Dept.
borrow from another bank
loan money to the "FED"
buy more bonds
2
If there is a GDP GAP of $500 billion with an mpc of .80 the Congress should
Increase spending by $500 billion
Increase taxes by $100 billion
Decrease spending by $500 billion
Increase spending by $100 Billion
3
To correct the problem with "e1" on the graph the FED should
increase spending
buy bonds
increase taxes
sell bonds
4
Point "e1" represents
cost push inflation
recession
demand pull inflation
stagflation
5
The graph shows
Lower tax rates
Demand Pull Inflation being corrected
Cost Push inflation being corrected
more government spending
6
What action by the FED would cause the shift in the graph
Sell Bonds
Raise Discount Rate
Buy Bonds
Raise the Reserve Requirement
7
To correct point "e1" on the graph with fiscal policy the Congress should
buy bonds
sell bonds
increse spending
increase taxes
8
If the economy is in a recession in the business cycle the
Congress should lower taxes or do nothing
"FED" should lower taxes
Congress should raise taxes and spend less
"FED" should increase spending on infrastructure
9
If the SRAS curved shifted to the left in the AD-AS Model, on this graph
The SRPC would shift to the right
The LRPC would shift to the Left
The SRPC would also shift to the left
the LRPC would shift to the right
10
In the Forex Market, if Japan buys more from the USA, the $
appreciate
will have less demand for it
deprecciate
11
The graph shows Demand pull inflation being corrected by
the "FED" increasing interesrt rates
Congress cutting taxes
higher wages
lower wages
12
the graph indicates that the economy
is in a recession
in is a period of high inflation
is experiencing high inflation and recession
has high interest rates
13
The graph shows
demand pull inflation being corrected
cost push inflation being corrected
appreciation of the Euro
appreciation of the dollar
14
To correct the problem on the graph, what fiscal policy needs to be implemented
easy money
contractionary
expansionary
tight money
15
To accomplish the change on the graph, the FED should
sell bonds
buy bonds
increase government spending
raise taxes
16
If investors in the USA open a Savings Account or a CD in Japan, the
Demand curve will shift to the right
supply curve will shift to the left
demand curve will shift to the left
supply curve will shift to the right
17
If a customer came into the bank and withdrew $6000, what is the new required reserve amount
$400
$800
$100
$1000
18
What would cause the shift on the graph
lower wages
low interest rates
more government spending
less consumer confidence
19
On the graph, increased savings, because of fear of becoming unemployed would
shift the demand curve to the right
shift the supply curve to the right
result in higher interest rates
shift the supply curve to the left
20
On the Graph, point A represents
recession
inflation
equilibrium
fiscal drag
21
If the FED increases the money supply by buying bonds in the Money Market, this loanable funds
graph would increase the supply of loanable funds
graph would increase interest rates
graph would not be affected
graph would decrease supply of loanable funds
22
A recession is defined as a decrease in GDP
for 3 months
for 1 month
for 6+ months
2 years
23
If the USA buys sony electronic equipment from Japan
supply shifts left
supply shifts right
demand shifts left
Demand shifts right
24
The Money Supply Curve is vertical because of
the savings rate
the spending rate
the quantity of money at a moment in time
crowding out
25
On the graph, increased government deficit spending would result in
shift of demand to the left
shift of demand to the right
shift of supply to the right
lower interest rates