The aim to study long-run macroeconomics is to work out the plans followed for growth in the national economy. It helps in potraying a growth in the market required for increasing the living standards of people and also the revenues earned by the traders and manufacturers. The earning son a long-run tends to eatablish the market very well. The short run macroeconomics helps in preventing recession and unemployment. It helps in overcoming seasonal variations or faults required to be covered up for improper flow of supply of the products in the market.
31. A commercial bank has required reserves of $6,000 and the reserve ratio is 20 percent. What are the commercial bank's checkable-deposit liabilities? A. $1,200 B. $9,000 C. $30,000 D. $120,000 Principles of Macroeconomics - Chapter 14 & 15 14 & 15-41Prof. Katkov, Microeconomics. Examination 3 (Chapters 7. 8. 9) 1. The ODP is defined as a the market value of all economic resources used in the production of a year's output b the market value of all final goods and services produced within a nation in one year. the market value of all goods and services, both final and intermediate, produced within a nation in one year- d. the total quantity of all goods, both final and intermediate, produced within a nation in Which of the following is a final good or service? a tires purchased by General Motors to put on a new automobile b carpeting purchased by a consumer to put in his or her home c. sugar purchased by a bakery to make a cake d all of the above 3. In calculating a nation's GDP, which of the following would be sseluded? secondhand sales (Le., sales of used goods) b, purchases and sales of securities (stocks and bonds) c. government transfer payments (e g, social security benefits, welfare payments) d all of the above 4. Which of the following is included in the calculation of a nation's GDP? a. improved product quality b. the portion of a farmer's output which the farmer and his family consume for themselves c transactions in the underground economy (i.c., illegal economic activities) d. all of the above 5. As defined in national income accounting, investment includes a. business expenditures on machinery and equipment. b. all construction. c. changes in business inventories. d. all of the above. 6. Using the expenditures approach, GDP can be calculated by summing a compensation of employees, gross investment, government spending, and exports. b. consumption of fixed capital, gross investment, net exports, and government purchases. C. personal consumption expenditures, net investment, government purchases, and total U.S. exports. d. personal consumption expenditures, gross investment, government purchases, and net exports.Principles of Macroeconomics, He (Case) Chapter 6 Measuring National Output and National Income 6.1 Gross Domestic Product I) The total market vahee of all final goods and services produced within a given period by factors of production located within a country is Al gross domestic preshurt. Bj gross national product. Cnet national product. DJ net national income. 2) Gross domestic product measures Aj the total spending of everyone in the cronomy. B) the value of all outpul in the economy. C) the total income of everyone in the economy, D) all of the above 3) Which of the following is an example of a final good or service? Al wheat a bakery purchases to make bread B) coffee beans Starbucks purchases to make coffee ) lumber purchased by a construction company to used in building houses D) a computer purchased by Federal Express to track shipments " Which of the following is a good or service counted in GDP? A) tires Ford buys to put on a car B) a used tire you buy for your personal car Q a new tire you buy for your personal car Dj used tires bought by a used car dealer to put on a car on his hit 5) Which of the following is an example of an intermediate good? A) the dough you buy to fix yourself a pizza for dinner B) the chocolate you buy to make yourself some cookies Q) the pizza sauce you purchase to make pizzas to sell for a fund-raiser for an organization you belong to DJ lumber you buy to build a house for your dog 6) Double counting can be avoided by A) induding the value of intermediate goods in the current year, B) not counting the value of intermediate goods in GDP, C) including the value of intermediate goods in the GNP but not in the GDP. DJ including the value of intermediate goods in the production year but not in the selling year of those goods. 7) Which of the following would not be counted in 2016's GDP? A) the value of a 2008 boat you purchase from a boat dealer in 2016 B) the 2016 salary of a used motorcycle salesperson () the commissions earned by a real estate agent in selling condominiums built prior to 2016 D) the value of a refrigerator manufactured in 2016 but not sold in 201633. An individual deposits $12,000 in a commercial bank. The bank is required to hold 10 percent of all deposits on reserve at the Central Bank. The deposit increases the loan capacity of the bank by: A. $11,000 B. $10,800 C. $9,600 D. $6,000 Principles of Macroeconomics -Chapter 14 & 15 14 & 15 43
