TEST ECO4ESO 501 - Created by Antonio Ginés

Do the monetary authorities of all countries have the same level of contol over interest rates?
1. No
2. Yes
3. The other answers are correct
What will happen if financial institutions lend at low interest rates?
1. That families won't ask for money
2. That families will ask for money
3. The other answers are correct
What are the types of inflation according to the value of the ratio?
1. Demand inflation, supply inflation, and self-built inflation
2. Hyperinflation and moderate inflation
3. Demand inflation, cost inflation, and self-built inflation
Who believes that the most important factor influencing inflation or deflation is the management of the money supply?
1. The Classics
2. They Keynesians
3. The Monetarists
Who indicates that changes in the money supply don't directly affect prices, and that visible or mesurable inflation is the resutl of pressures on the economy expressing themselves in prices?
1. The Monetarists
2. The Classics
3. The Keynesians
What inflation is caused by increases in aggregate demand due to increased private and public spending?
1. The demand inflation
2. The cost inflation
3. The supply inflation
What inflation is caused by a drop in the aggregate supply of certain goods and services?
1. The cost inflation
2. The demand inflation
3. The supply inflation
What inflation can be caused by a sudden decrease in the supply of oil?
1. The supply inflation
2. The cost inflation
3. The demand inflation
What type of inflation is connected to the "price/wage spiral"?
1. The demand inflation
2. The cost inflation
3. The self-built inflation
What type of inflation leads to a vicious cycle?
1. The self-built inflation
2. The demand inflation
3. The cost inflation
What inflation will there be if the index goes from 100 to 102?
1. 20%
2. 2%
3. 102%
What type of unemployment is the result of imperfect information in the labor market?
1. The cyclical
2. The frictional
3. The classic
Are increases or decreases in unemployment well represented in simple statistics?
1. The other answers are correct
2. They are normally overrepresented
3. They are normally underrepresented
What is the agreed minimum level of salaries called in Spain?
1. Minimum Wage
2. Minimum Labor
3. The other answers are correct
What do the laws that restrict firing produce?
1. That hiring becomes less risky
2. That hiring becomes more risky
3. The other answers are correct
What is Keynesian unemployment also called?
1. Structural
2. Cyclic
3. Classic
What type of unemployment is caused by a mismatch between jobs offered by employers and potential workers?
1. The cyclical
2. The classic
3. The structural
What type of unemployment results from fluctuations in labor demands in certain industries due to the seasonal nature of production?
1. The seasonal
2. The structural
3. The classic
What type of unemployment is structural unemployment?
1. Voluntary
2. Involuntary
3. The other answers are correct
What is the unemployment rate?
1. It's the fraction of the total population that is looking for work but cant' find it
2. It's the fraction of the unemployed population that is looking for work but cant' find it
3. It's the fraction of the workforce that is looking for work but cant' find it
What would happen if there was no international trade?
1. The nations would be limited to goods and services produced within their own borders
2. The nations would be limited to goods and services produced outside their own borders
3. None of the other answers is correct
If Morocco produces a toy with a cost of €2 and a Spanish company needs to incur in costs of €5 for the same toy, whose toys will be sold in Spain?
1. They will be Spanish
2. They will be Moroccan
3. They will be Korean
Which theory refers to the ability to produce a product more efficiently given the other products that could be produced?
1. The one with total advantage
2. The one with absolute advantage
3. The one with comparative advantage