Introduction to Economics 2 Final 2. Deneme Sınavı
Toplam 16 Soru1.Soru
What do we call to a tax or duty levied on the traded commodity as it crosses a national boundary?
Quota
|
Tariff
|
Non-tariff restriction
|
Subsidy |
Indirect tax |
Countries restrict their international trade by using restrictive trade instruments. Restrictive trade instruments are examined into two groups: Tariffs and non-tariff restrictions. A tariff is a tax or duty levied on the traded commodity as it crosses a national boundary. A non-tariff restriction is any action other than a tariff that restricts international trade.
2.Soru
Which of the following is not one of the reasons for demand-pull inflation?
Increasing money supply
|
Increasing autonomous government expenditures
|
Increasing costs
|
Increasing autonomous consumption expenditures |
Decreasing taxes |
Increasing cost is one of the factors that create cost-push inflation in the economy.
3.Soru
……………… is the direct exchange of goods or services for another without using any medium of exchange
What best fits the blank above?
Measurement unit
|
Store of value
|
Monetary policy
|
Barter |
Fiat money |
Barter is the direct exchange of goods or services for another without using any medium of exchange.
4.Soru
Which of the following is not among the factors of increase in aggregate supply?
Decrease in input prices
|
Low wage level
|
Technological progress
|
Bad weather conditions |
More workforce |
Bad weather conditions is a factor for decrease in aggregate supply.
5.Soru
Which of the following is not included in balance of payments?
Current account |
Capital and financial account |
Official reserves account |
Statistical discrepancy account |
International transaction account |
Balance of Payments = Current Account + Capital and Financial Account + Official Reserves Account + Statistical Discrepancy Account
6.Soru
What does internal equilibrium refer to?
It refers to the full employment of economy with price stability.
|
It refers to the balance of payments equilibrium.
|
It refers to the situation of concurrent equilibrium of the internal and external balance of an economy.
|
It refers to the situation of either internal or external equilibrium in an economy. |
None of the above |
Internal Equilibrium refers to the full employment of economy with price stability.
7.Soru
At the autarky, which of the following are the same?
I. PPF
II. CPF
III. BOP
IV. FDI
I and II
|
I and III |
I and IV
|
II and III |
II and IV |
At the autarky, production possibilities frontier (PPF) and the consumption possibilities frontier (CPF) of a country are identical. In other words, production and consumption points are the same and they are both on the same frontier.
8.Soru
Which of the following countries is ranked very high in terms of HDI?
Turkey
|
Iceland
|
India
|
Ukraine |
China |
Correct answer is B, other countries are ranked either high or medium.
9.Soru
I. A change in real income and/or prices does not mean a change in nominal income
II. There is a possibility of barter in a modern economy, so economic units sometimes may not need money to perform their daily operations.
III. The reason you hold money in your wallet to buy something is that acquisition periods of income are generally not matching with spending periods.
Which of the statement(s) given above is /are true?
I and II
|
Only III
|
II and III
|
I and III |
Only II |
The correct version of the statements above are as follows:
A change in real income and/or prices means
a change in nominal income.
There is no possibility of barter in a modern economy, so economic units need money to perform their daily operations.
The reason you hold money in your wallet to buy something is that acquisition periods of income are generally not matching with spending periods.
10.Soru
What is another name for supply shock?
output shock
|
positive shock
|
productivity shock
|
beneficial shock |
functional shock |
Supply shock, which is also known as the productivity shock, is defined as the shocks that affect the economy’s production function.
11.Soru
Which of the following functions of money ensures to keep purchasing power on hand?
Unit of account
|
Barter economy
|
Store of value
|
Medium of exchange |
Social transfer |
One of the functions of money is to be a store of value. Money, as a store of value, ensures to keep purchasing power on hand. For example, you hold an amount of purchasing power equal to the amount of money in your pocket right now. If you have 20 TL in your pocket, you can imagine your purchasing power by thinking about the goods and services you may purchase with this amount of money and understand this function of money easily. This function of money is closely related with the prices of goods and services in the country. For instance, if all prices double right now, the amount of goods and services you can purchase with the money in your pocket cut in half. In other words, your purchasing power with the money in your pocket halves. Contrary, if all prices of goods and services are lowered, then you can purchase more goods and services with the money in your pocket, meaning that your purchasing power increases.
12.Soru
What is the region of aggregate supply curve called at the full employment level with highest level of production?
Keynasian region
|
Intermediate region
|
Classical region
|
Neo-classical region |
None of the above |
Correct answer is B.
13.Soru
Which one of the following is not one of the shortcomings of the Solow Growth Model?
The long-run per capita growth rate is determined entirely by the rate of technological progress but the technological growth is outside the model
|
Income per capita differentials across the countries are much greater than predicted by this model.
|
The model assumes that the marginal product of capital should be much higher in poor countries than in rich countries.
|
The capital accumulation alone cannot account for either growth of per capita income over the long-run or the enormous disparities in living standards among the nations. |
It adds the accumulation of human capital to the initial variables. |
Even though the Solow growth model is the basic framework for the most following research on growth, it has a number of important weaknesses. Firstly, in the Solow model, the long-run per capita growth rate is determined entirely by the rate of technological progress but the technological growth is outside the model, which is exogenous. Secondly, the evidence shows that income per capita differentials across the countries are much greater than predicted by the model. Differences in capital per labor across countries are too small to account for the observed disparities in real incomes. Thirdly, the model assumes that the marginal product of capital should be much higher in poor countries than in rich countries. The observed tenfold differential in output per worker between rich and poor countries implies a hundredfold difference in the marginal product of capital if output gaps are entirely due to variations in capital intensities. Such differentials in the rate of return to capital are simply not observed between rich and poor countries. Finally, the capital accumulation alone cannot account for either growth of per capita income over the long-run or the enormous disparities in living standards among the nations. In order to overcome this problem, Mankiw et al. (1992) and Mankiw (1995) developed the augmented Solow model by adding the accumulation of human capital to the initial variables.
14.Soru
……………………………is the price level at which the aggregate demand is equal to aggregate supply.
Which one of the following completes the sentence above?
Aggregate demand
|
Aggregate demand curve
|
Equilibrium price level
|
Aggregate supply |
Aggregate supply curve |
Equilibrium price level is the price level at which the aggregate demand is equal to aggregate supply.
15.Soru
Which of the following options would lead to an environment having no common instrument for exchanging?
Money economy |
Free economy |
Barter economy |
Health econmy |
Manufacturing economy |
The best way to understand the function of money as a medium of exchange is to consider an environment having no common instrument for exchanging. In such an environment, goods and services would be exchanged with other goods and services. So, in such environments there would be a barter economy and people would Exchange the goods they produced with the goods they want to consume.
16.Soru
- Health standards,
- sanitary and phyto-sanitary standards,
- environmental standards,
- labor standards,
- product standards,
- production subsidies,
- internal charges, etc
Above standards belong to which restrictive trade instruments?
Above standards belong to which restrictive trade instruments?
Non-tariff restrictions imposed on imports |
Non-tariff restrictions imposed on exports |
Non-tariff restrictions imposed in the national economy |
Non-tariff restrictions imposed in the international trade |
Non-tariff restrictions imposed in the international finance |
Non-tariff restrictions imposed in the national economy: Health standards, sanitary and phyto-sanitary standards, environmental standards, labor standards, product standards, production subsidies, internal charges, etc. This category of non-tariff restrictions are the behind-the border restrictions.