
Theme 2 - Economic Cycle and Growth
Quiz by Mark Seccombe
An inward shift in AD is likely to cause
Which of the following is most likely to increase AD?
Which of the following is most likely to increase LRAS?
The output gap is most likely become negative when
Other factors remaining equal, a rise in labour productivity is likely to cause
The multiplier effect can refer to the effect of a change in the level of
A negative output gap necessarily means that the economy
An economy is in recession, with falling real GDP. The accelerator theory predicts that
An economy is most likely to be in a boom phase of the economic cycle when there is a rise in
What combination of policies is it most likely to implement when the economy is operating at point X?

The term 'sustainable growth' means
Which of the following is NOT a problem of economic growth?
If an economy is on its long run aggregate supply curve
The rate of increase of real GDP per capita is calculated by
Which of the following would most likely increase the long run trend growth rate?