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Macroeconomıc Theory (ENG)

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  1. 1

    I. The long-run Phillips curve (LRPC) is the line connecting each short-run Phillips curve at expected inflation rate.

    II. In the late 1970s, Lucas and Sargent (1978) introduced rational expectations into the model

    III. The short-run expectations-augmented Phillips curve is a vertical line

    IV. In 1960, Samuelson and Solow (1960) modified the Phillips curve for the US by focusing on the relation between average price rise as a measure of the inflation rate and unemployment rate.

    Which of the above statements are true regarding Philips curve?

  2. 2

    What determines the magnitude by which changes in the price level affect the aggregate output?

  3. 3

    Which of the following is the type of unemployment that results from a serious mismatch between the skills that workers have and those that companies expect from them?

  4. 4

    Romer suggested that long-run growth is determined by the .......... and ............. rate of a country, rather than technological progress which is exogenously determined in the model.

    Which of the following completes the sentences above?

  5. 5
    1. Production function has increasing return to scale.
    2. Two factors, labor and capital are considered.
    3. Technological change is not considered.
    4. There are diminishing returns to labor.
    5. There are increasing returns to capital.

    Which of the above are assumptions of the basic Solow model?

  6. 6
    1. A decrease in net taxes
    2. An increase in autonomous I
    3. A decrease in autonomous G
    4. An improvement in NX
    5. A decrease in autonomous X

    Which of the above will tend the IS curve to shift to the right?

  7. 7

    Which of the following statements about price stickiness is consistent with the Keynesian theory?

  8. 8

    How many countries are committed to World Trade Organization rules?

  9. 9

    I- A decrease in minimum wage, II- A more stringent anti-trust regulation, III- An increase in energy prices, IV- A decrease in mark-up rate, μ

    Which of the following factors will shift the AS curve up and to the left?

  10. 10

    What is the immediate impact of an increase in P in the money market?

  11. 11

    Other things being equal, which of the following statements is correct if public spending increases?

  12. 12

  13. 13

    Which of the following statements is true regarding the aggregate demand relationship?

  14. 14

    What happens when there is an increase in autonomous spending in the goods market?

  15. 15

    Which of the following are the main drivers of autonomous investment?

  16. 16

    Which of the following statements about the investment is false?

  17. 17

    "An increase in government spending G -when the government increases borrowing in order to finance increased spending-  leads to an increase in the interest rate and therefore discourages private investment spending. This effect is called  as............"

     Which of the following correctly completes the blank in this sentence?

  18. 18

    The slope of the LM curve is determined by which of the following?

  19. 19

    When was the  golden era of
    macroeconomics?

  20. 20

    All of the following are actors in determining the money supply EXCEPT

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