What was/were the most enduring legacy/legacies of the 1960s according to Hughes and Cain (2011)?
(a) Medicare and the War on Poverty
(b) The violent antiwar movement
(c) The environmental, consumer and women's movements
(d) The black power movement
Question 2The following Phillips curve of would be consistent with the _____ model(s).
a. Keynesian.
b. monetarist.
c. monetarist and classical.
d. classical.
e. None of the above
Question 3Why did high fertility of the early population occur, according to Hughes and Cain (2011)?
(a) More than half of the population were at ages where fertility is highin 1820, for example,
the median American was less than 17 years old.
(b) A nation composed mainly of farmers and people planning to farm had every reason to create large families.
(c) Children can be considered investment goods and the rate of return on a child born to a farm family was relatively high.
(d) High fertility occurred due to all of the above reasons.
Question 4The American birth rate in 18601910
(a) was kept high by the tendency of immigrant children to have large families.
(b) increased steadily.
(c) declined, on average.
(d) rose dramatically after the Civil War due to the large numbers of immigrants
having children in the U.S. to get U.S. citizenship.
Question 5What does the idea of a trade-off between inflation and unemployment mean?
(a) That lower inflation could be established but only at the cost of higher unemployment
(b) That lower unemployment could be achieved but only at the cost of more government spending
(c) That lower inflation could be established but only at the cost of lower unemployment
(d) That lower unemployment could be achieved but only at the cost of lower inflation rates
Question 6Empirically, there is a close positive relationship between domestic savings and investment. This is consistent with what we should expect to observe in
a. a closed economy.
b. the Mundell-Flemming model with perfect capital mobility.
c. the Mundell-Flemming model with perfect capital mobility and flexible exchange rates.
d. the Mundell-Flemming model with perfect capital mobility and fixed exchange rates.
e. none of the above.
Question 7All of the following trends and characteristics of American population growth occurred from Independence to the Civil War except
(a) The size of the average family was increasing.
(b) Populations living in urban places increased.
(c) There was extensive settlement in rural areas.
(d) Growth was very rapid.
Question 8Which of the following statements is (are) correct? There is agreement between the Keynesians and monetarists that
a. an increase in aggregate demand will increase both output and price in the short run.
b. there is a trade-off between inflation and unemployment in the short run.
c. in the long run, when the expected price level also has time to adjust, output will not be affected by changes in aggregate demand.
d. All of the above
e. None of the above
Question 9The population theory of Thomas Malthus
(a) would have predicted the changes in per output in this country in the
19th century and up to 1910.
(b) would lead you to expect a powerful surge in physical output as
the immigration poured in.
(c) would not have predicted the positive trend increase in per capita
output and income in 18601910.
(d) does not apply to any of the above.
Question 10For the first time in U.S. history, the federal government assumed responsibility for managing unemployment during the Great Depression.
Indicate whether the statement is true or false
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