1. People who are willing to work in principle, but who do not look for work because they think no work is available, are counted as unemployed.

Group of answer choices

True

False

2.An increase in which of the following would lead to a decrease in consumption expenditure?

• Interest rates
• Income
• Consumer confidence
• Consumer wealth

3.The difference between the current level of real output and potential real output is known as the output gap.

Group of answer choices

True

False

4.The price index based on a sample of goods and services purchased by business firms is known as the consumer price index.

Group of answer choices

True

False

5.A model of banking in which banks make loans and then quickly sell them, using the proceeds to make new loans, is called originate ___________.

• to distribute
• for solvency
• to hold
• for liquidity

6)In the originate-to-hold model, banks ___________ hold loans to maturity and in the originate-to-distribute model, banks ___________ hold loans to maturity.

• almost always; never
• almost always; almost always
• never; almost always
• never; never