Agro Commodities & Agricultural Produts

Question by Steph: Can Somebody Please Help with These Multiple Choice Economics Questions ASAP Please?
1. In which of the following industries or sectors of the economy is output likely to be most strongly affected by the business cycle?
A) military goods
B) capital goods
C) textile products
D) agricultural commodities

2. A recession is a period in which:
A) cost-push inflation is present
B) nominal domestic out falls.
C) demand-pull inflation is present
D) real domestic output falls.

4. If the unemployment rate is 9 percent and the natural rate of unemployment is 5 percent, then the:
A) frictional unemployment rate is 5 percent
B) cyclical unemployment rate and the frictional unemployment rate together are 5 percent.
C) cyclical unemployment rate is 4 percent.
D) natural rate of unemployment will eventually increase.

5. Supposet there are 5 million unemployed workers seeking jobs. After a period of time, 1 million of them become discouraged over their job prospects and cease to look for work. As a result of this, the official unemployment would:
A) increase in the short run but eventually decline.
B) increase
C) decline
D) be unchanged

6. Eckstein has lost her job in a Massachusetts textile plant because of import competition. She intends to take a short course in electronics and move to California where she anticipates that a new job will be available. We can say that Eckstein is faced with:
A) secular unemployment
B) cyclical unemployment
C) structural unemployment
D) frictional unemployment

Answer questions 7 & 8 on the basis of the following information about a hypothetical economy:

Full-time employed = 80
Part-time employed = 25
Unemployed = 15
Discouraged workers = 5
Members of underground economy = 6

7. Refer to the above information. The unemployment rate is:
A) 18.8 %
B) 12.5 %
C) 16.7 %
D) 25 %

8. Refer to the above information. If the members of the underground economy are presently counted as part of the unemployed when in fact they are employed, the official unemployment rate is overstated by:
A) 0 percentage points
B) 2 percentage points
C) 5 percentage points
D) 6 percentage points

9. If the US unemployment rate is 9 percent, we can infer that:
A) the economy is in the expansion phase of the business cycle.
B) potential GDP is in excess of the actual GDP
C) actual GDP is in excess of potential GDP
D) actual GDP is equal to potential GDP

10. Inflation means that:
A) all prices are rising, but at different rates
B) all prices are rising and at the same rate
C) prices in the aggregate are rising, although some particular prices may be falling.
D) real incomes are rising

11. “Too much money chasing too few goods” best describes:
A) the GDP gap
B) demand-pull inflation
C) the inflation premium
D) cost-push inflation

12. Cost-push inflation
A) is caused be excessive total spending
B) shifts the nation’s production possibilities curve leftward
C) moves the economy inward from its production possibilities curve
D) is a mixed blessing because it has positive effects on real output and employment.

13. Who is least likely to be hurt by unanticipated inflation?
A) a disabled laborer who is living off accumulated savings
B) an owner of a small business
C) a secretary
D) a pensioned steelworker

14. If the nominal interest rate is 5 percent and the real interest rate is 2 percent, then the inflation premium is:
A) 8 %
B) 5 %
C) 3 %
D) 2 %

-Thank You =]

Best answer:

Answer by BM
do it yourself

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