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Eco212 Essay

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ECO/212 Final Examination Study Guide

This study guide prepares you for the Final Examination you complete in the last week of the course. It contains practice questions, which are related to each week’s objectives. Highlight the correct response, and then refer to the answer key at the end of this Study Guide to check your answers.

Use each week’s questions as a self-test at the start of a new week to reflect on the previous week’s concepts. When you come across concepts that you are unfamiliar with, refer to the Student Guide for that particular week. The Student Guide provides a breakdown of the readings that align to the Final Examination questions.

Week One: Principles of Economics

Objective: Explain how the principles …show more content…

a. The effects of taxes on the prices of airline tickets, the profitability of automobile manufacturing firms, and employment trends in the food-service industry
b. The price of beef, wage differences between genders, and antitrust laws
c. How consumers maximize utility, and how prices are established in markets for agricultural products
d. The percentage of the labor force that is out of work and the difference in average income from country to country

Objective: Describe the roles of the government bodies that determine national fiscal policies.

12. Policymakers who control monetary and fiscal policy and want to offset the effects on output of an economic contraction caused by a shift in aggregate supply could use policy to shift
a. aggregate supply to the right
b. aggregate supply to the left
c. aggregate demand to the right
d. aggregate demand to the left

13. Which of the following would cause stagflation?
a. Aggregate demand shifts right.
b. Aggregate demand shifts left.
c. Aggregate supply shifts right.
d. Aggregate supply shifts left.

Objective: Explain the effects of fiscal policies on the economy’s production and employment.

14. Closely watched indicators such as the inflation rate and unemployment are released each month by the
a. Bureau of the Budget
b. Bureau of Labor Statistics
c. Department of the Treasury
d. President 's Council of Economic Advisors

15. One

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