Question

- + r Fit to pag MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answer the question. D) foreign products 20) Social Security collects taxes on A) sales of food B) barter Income C) payroll income TRUE FALSE. Write T'If the statement is true and Fir the statement is false. 21) Government transfer payments shift income from one person to another and therefore do not produce a final good or service and hence are not part of GDP. 22) An increase in demand shifts the demand curve downward. MULTIPLE CHOICL Choose the one alternative that best completes the statement or answer the question 23) Economic growth can be pictured in a production possibilities frontier by A) making the PPF straighter B) moving from a point inside the frontier to a point on the frontier C) shifting the PPF outward D) shifting the PPF inward TRUE/FALSE. Write T'Ir the statement is true and Tirthe statement is false 24) Personal income taxes represent the largest portion of government receipts MULTIPLE CHOIC. Choose the one alternative that best completes the statement or answer the question 25) Political conservatives are more likely to be associated or supportive of which of the following models A) supply sider theory B) stagflation theory Keynesian model D) classical model 26) Which of the following is ALWAYS TRUE In the macroeconomy? A) Imports equal exports. B) Savings equals investment C) Goverment spending equals tances D) Income equals expenditures All of the above are true in the macroeconomy. TRUWFALSE. Write T if the statement is true and the statement is false. 2) The unemployment rate is found by the ratio of the unemployed to the population. 28) Monetary policy has no impact on interest rates 29) When the economy experiences economic growth, it is in the expansion phase of the business de 3 In the long run, aegropate supply is (A) upward sloping at full employment, (B) horizontal below full employment (C) vertical at hell employment (D) vertical below full employment. (E) vertical above full employment.

Answer 1

As per HOMEWORKLIB POLICY and guideline, the first-four MCQs are answered below:

20.

Answer: C

This is the payroll-related tax which is contributed both employers and employees equally. Employees’ contribution is deducted from their salary but employers’ contribution doesn’t reduce salary.

21.

Answer: T

This is the shift of income, which is not productive, means the receiver do not produce anything; therefore, there is no final product and no GDP.

22. Answer: F It cannot be downward shifted; it would be a rightward shift. An increase in demand should shift the demand curve to the right direction. Price → Quantity It is shown in the above graph by the arrow sign.

23.

Answer: C

This curve indicates various combinations of production possibilities between two products. An outward shift indicates a growth in production possibilities, since this gives higher quantities of production than earlier.