ECON5002_Macroeconomics_2007 Semester 2_Quiz 1 - Econ 5002.docVIP

??Question 1 1 points ? Save ? ? Assume that computers and oil are the only goods produced in an economy. In 2004, 40 computers and 10,000 litres of oil were produced. Computer prices in 2004 were $1500 while price of oil was $2 per litre. In 2005, computer production went up to 80 but its price fell to $500. Oil production increased to 12,000 litres and its price increased to $5 per litre.Using 2004 as the base year, the value of real GDP in 2005 is $120,000 $180,000 $144,000 $150,000 ??Question 2 1 points ? Save ? ? Suppose a bond offers to pay $1000 in one year and currently sells for $900. Given this information, we know that the interest rate on the bond is: 9%. 10%. 11.1% 90% 110% ??Question 3 1 points ? Save ? ? Suppose there is a simultaneous tax cut and open market sale of bonds. Which of the following must occur as a result of this? Output increases Output decreases The interest rate increases The interest rate decreases Both output and the interest rate increase ??Question 4 1 points ? Save ? ? Suppose the consumption equation is represented by the following: C = 100 + .75(Y-T). The multiplier in this economy is ________. 0.25 2 4 1.33 ??Question 5 1 points ? Save ? ? Go to the Reserve Bank of Australiaa website (.au), then to Statistics, then Bulletin Statistical Tables, then Prices and Output (G Tables), and download Table G11. From this Excel spreadsheet, real household consumption as a percentage of real GDP (in chain volume measures)in the quarter December 2005 was: 57.30 per cent 57.78 60.03% 59.92% ??Question 6 1 points ? Save ? ? Go to the Reserve Bank of Australiaa website (.au), then to Statistics, then Bulletin Statistical Tables, then Prices and Output (G Tables), and download Table G10. From this Excel spreadsheet, the annual rat