AP AP Economics & Government 3

Question 1

In AP Macroeconomics, what does the Phillips Curve illustrate?

Accepted Answer

A short-run trade-off between inflation and unemployment

Answer

The relationship between supply and demand

Answer

The relationship between interest rates and investment

Answer

Long-run economic growth trends

Question 2

In the U.S. government, what is a filibuster?

Accepted Answer

A prolonged speech or tactic used in the Senate to delay or block a vote

Answer

A presidential veto of legislation

Answer

A Supreme Court ruling

Answer

A congressional committee hearing

Question 3

What is the concept of 'supply-side economics'?

Accepted Answer

Stimulating growth by reducing taxes and regulations on producers

Answer

Stimulating growth by increasing government spending

Answer

Controlling inflation by raising interest rates

Answer

Boosting demand through consumer subsidies

Question 4

What is the role of the Electoral College in the United States?

Accepted Answer

To formally elect the President and Vice President

Answer

To elect members of Congress

Answer

To confirm Supreme Court justices

Answer

To ratify constitutional amendments

Question 5

In economics, what is a monopoly?

Accepted Answer

A market dominated by a single seller with no close substitutes

Answer

A market with many competing firms

Answer

A government-owned business

Answer

A market with exactly two sellers

Question 6

What is the difference between a recession and a depression?

Accepted Answer

A recession is a mild, shorter decline; a depression is a severe, prolonged economic downturn

Answer

They are the same thing

Answer

A recession only affects one industry; a depression affects all industries

Answer

A recession is caused by inflation; a depression is caused by deflation