FREE Bachelor of Social Science Economics Questions and Answers

Question 1

To impress a business associate, John wants to compute the Gross Domestic Product (GDP). Which item would this calculation's relevance be?

Accepted Answer

Both wages and new purchases

Answer

Wages

Answer

New purchases

Answer

Used college textbook sales

Question 2

Which one of the following IS an injection?

Accepted Answer

All answers could be considered an injection

Answer

Exports

Answer

Investment

Answer

Government purchases

Question 3

The following would be taken into account while describing the vehicle assembly line equipment:

Accepted Answer

the physical capital.

Answer

labor output.

Answer

the human capital.

Answer

the labor capital.

Question 4

What constitutes a research and development example?

Accepted Answer

A new software application that increases workplace productivity

Answer

An earned college degree

Answer

A summer internship program

Answer

A new office building

Question 5

The business cycle's peak and trough phases represent the ups and downs of the economy. What is the other set of often used descriptors for this cycle?

Accepted Answer

Expansion and recession

Answer

Black and red

Answer

Positive and negative

Answer

Growth and attenuation

Question 6

A report containing the total value of production, adjusted for inflation, is given to an economist. What value are they Probably looking at?

Accepted Answer

Real output

Answer

Interest rate

Answer

Discount rate

Answer

Origination fee

Question 7

At his bank, John bought an investment tool that is a contractual promise that, after two years, he will be able to extract monetary value. This device is most likely categorized as:

Accepted Answer

financial asset.

Answer

mortgage backed security.

Answer

savings and loan product.

Answer

commercial banking product.

Question 8

Having accomplished her aim of being able to set aside money each month to buy investment tools like stocks and bonds, a young professional is pleased with herself. What type of financial demand does her circumstances BEST illustrate?

Accepted Answer

Speculative demand for money

Answer

A need to reduce student loan debt

Answer

Real estate investment demand for money

Answer

An online brokerage account

Question 9

What aspect of comparative advantage theory is crucial?

Accepted Answer

Specialization and producing products where you have a lower opportunity cost.

Answer

Reliance only on your own country's production and importing only as a last resort.

Answer

Specialization and producing products which you can produce more than anyone else in a given time period.

Answer

Austerity and refusing to trade with countries that have a lower opportunity cost than you.

Question 10

Compared to country Y, country X has a lower opportunity cost for manufacturing computers, while country Y has a lower opportunity cost for manufacturing wine. What ought they to create in accordance with the comparative advantage theory?

Accepted Answer

Country X should produce computers while country Y should produce wine, and they should trade these products with each other.

Answer

Country X should produce wine while country Y should produce computers, and they should then trade these products with each other.

Answer

They shouldn't produce either product, as they don't have an absolute advantage in the production of either product.

Answer

Both of them should produce all of the goods they possibly can.