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<strong>CIS</strong> <strong>175</strong> <strong>Week</strong> 9 <strong>Quiz</strong> 8<br />
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<strong>CIS</strong> <strong>175</strong> <strong>Week</strong> 9 <strong>Quiz</strong> 8<br />
This quiz consist of 30 multiple choice questions. The first 15 questions cover the material in Chapter 11. The<br />
second 15 questions cover the material in Chapter 12.<br />
1. How has the increasing importance of the U.S. service sector contributed to the slowdown in economic<br />
growth?<br />
2. Which group is responsible for announcing the dates for each phase of a U.S. business cycle?<br />
3. Which of the following focuses primarily on aggregate supply variables?<br />
4. What do you call business cycle theories based on the belief that economic activity follows general<br />
trends of optimism and pessimism?<br />
5. A decline in the level of economic activity occurs during which phase of the business cycle?<br />
6. The most commonly used tool to forecast future changes in economic activity is the<br />
7. According to Real Business Cycle Theory, the primary factor that increases aggregate supply is<br />
8. In response to an economic recession, monetary theories of the business cycle predict that the<br />
Federal Reserve would<br />
9. Human capital refers to<br />
10. Which of the following terms is used to describe the purchase of capital?<br />
11. When economic output hits a short-run economic low, the economy is in which phase of the<br />
business cycle?<br />
12. What are the two primary determinants of economic growth?<br />
13. Which of the following lists the four phases of the business cycle in the correct sequence?<br />
14. For an economy to expand its investment in the production of capital goods, it must<br />
15. Saving in an economy is important for economic growth because<br />
16. Banks make loans from their<br />
17. A collateralized debt obligation (or CDO)<br />
18. A capital gain exists<br />
19. The quantity theory of money emphasizes<br />
20. A stock is<br />
21. The money multiplier is<br />
22. Commercial banks<br />
23. To reduce inflationary pressures, the Federal Reserve authorities should<br />
24. A mortgage backed security is<br />
25. Home equity loans<br />
26. The equation of exchange is<br />
27. The interest rate on an adjustable rate mortgage (ARM) is<br />
28. The basic money supply is
29. M2 includes<br />
30. A dividend
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