Question 1

What does GDP stand for in macroeconomics?

Accepted Answer

Gross Domestic Product

Answer

Gross National Product

Answer

General Domestic Product

Answer

Global Development Program

Question 2

Which of the following is considered a primary function of a central bank?

Accepted Answer

Controlling inflation

Answer

Setting corporate taxes

Answer

Regulating stock markets

Answer

Managing public transportation

Question 3

What is the main goal of expansionary fiscal policy?

Accepted Answer

Stimulating economic growth

Answer

Increasing interest rates

Answer

Reducing government debt

Answer

Controlling inflation

Question 4

Which economic indicator measures the average change over time in the prices paid by consumers for goods and services?

Accepted Answer

Consumer Price Index (CPI)

Answer

Gross Domestic Product (GDP)

Answer

Unemployment Rate

Answer

Balance of Trade

Question 5

What is a consequence of high unemployment rates in an economy?

Accepted Answer

Decreased consumer spending

Answer

Improved productivity

Answer

Higher inflation rates

Answer

Increased tax revenue

Question 6

What does the term 'monetary policy' refer to?

Accepted Answer

Actions taken by a central bank to manage the money supply and interest rates

Answer

Government policies regarding taxation

Answer

Regulations on trade tariffs

Answer

Policies aimed at controlling immigration

Question 7

What does a trade deficit indicate about a country's economy?

Accepted Answer

It imports more goods and services than it exports

Answer

It has balanced trade

Answer

It has a surplus of foreign investments

Answer

It exports more goods and services than it imports

Question 8

Which of the following scenarios is most likely to increase inflation?

Accepted Answer

An increase in aggregate demand

Answer

A decrease in consumer confidence

Answer

A decrease in the money supply

Answer

A rise in unemployment

Question 9

What is quantitative easing?

Accepted Answer

A monetary policy used by central banks to stimulate the economy

Answer

A fiscal policy to reduce government spending

Answer

A method of assessing inflation

Answer

A type of tax reform

Question 10

What is the primary purpose of the Bank of England?

Accepted Answer

To ensure monetary stability and control inflation

Answer

To manage the UK's public debt

Answer

To oversee fiscal policy

Answer

To regulate the stock market

Related quizzes

Related quizzes