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Macroeconomics, 6e (Blanchard/Johnson)
Chapter 1: A Tour of the World
1.1 Multiple Choice Questions
1) In 2010, output per capita in the United States was approximately equal to
A) $15,500.
B) $25,800.
C) $43,800.
D) $47,300.
Answer: D
Diff: 2
2) The most recent financial crisis started in
A) stock market.
B) bond market.
C) foreign exchange market.
D) housing market.
Answer: D
Diff: 2
3) The standard of living typically refers to
A) the rate of unemployment.
B) output per capita.
C) wealth per capita.
D) all of the above
Answer: B
Diff: 1
4) In 2010 , the U.S. budget deficit as a percentage of U.S. output was approximately equal to
A) 1.7%.
B) 9%.
C) 6%.
D) 16.2%.
Answer: B
Diff: 1
5) In 2010, the unemployment in the U.S. was
A) 5%.
B) 11%.
C) 9.6%.
D) 4.6%.
Answer: C
Diff: 2
6) Economists have suggested that the relatively higher unemployment in Europe has been caused by which of the following?
A) relatively high unemployment benefits
B) relatively high level of worker protection
C) inadequate macroeconomic policies
D) increased labor costs
E) all of the above
Answer: E
Diff: 2
7) Which of the following countries had the lowest level of output per capita in 2010?
A) Spain
B) France
C) Italy
D) German
Answer: A
Diff: 2
8) At what point could the Euro be used as currency?
A) January 1, 1998
B) January 1, 1999
C) January 1, 2000
D) January 1, 2002
Answer: D
Diff: 2
9) In 2010, output per capita in China was approximately equal to
A) $2,100.
B) $4,300.
C) $22,100.
D) $32,100.
Answer: B
Diff: 2
10) Inflation represents
A) an increase in output.
B) an increase in the aggregate price level.
C) an increase in the unemployment rate.
D) a recession.
Answer: B
Diff: 1
11) Between 2000 and 2010, the annual rate of output growth in China was approximately equal to
A) 2%.
B) 5%.
C) 10%.
D) 20%.
Answer: C
Diff: 2
12) Which of the following explains the relatively high growth rate of output in China since 1980?
A) accumulation of capital
B) technological progres
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