总体经济学 期中考 日期97.04.16.docVIP

總體經濟學 期中考 日期：97.04.16 選擇題：每題3分 1. According to the quantity theory of money, if output is higher, ______ real balances are required, and for fixed M this means ______ P. (A) higher; lower (B) lower; higher (C) higher; higher (D) lower; lower 2. Starting from long-run equilibrium, if the velocity of money increases (due to, for example, the invention of automatic teller machines), the Fed might be able to stabilize output by: (A) decreasing the money supply. (B) increasing the money supply. (C) decreasing the price level. (D) increasing the price level. 3. Starting from long-run equilibrium, if a drought pushes up food prices throughout the economy, the Fed could move the economy more rapidly back to full employment output by: increasing the money supply, but at the cost of permanently higher prices. decreasing the money supply, but at the cost of permanently lower prices. increasing the money supply, which would restore the original price level. decreasing the money supply, which would restore the original price level. 4. Making use of Okuns law, it may be computed that if the Fed reduces the money supply 5 percent and the quantity theory of money is true, then the unemployment rate will rise about: 5 percent in both the short run and the long run. 2.5 percent in both the short run and the long run. 5 percent in the short run but will return to its natural rate in the long run. 2.5 percent in the short run but will return to its natural rate in the long run. 5. In the loanable funds model, a decrease in income ______ national saving and ______ the equilibrium interest rate. (A) increases; increases (B) increases; decreases (C) decreases; decreases (D) decreases; increases 6. (Exhibit: Market for Real Money Balances) Based on the graph, if the interest rate is r1, then people will ______ bonds and the interest rate will ______. (A) sell; rise (B) sell; fall (C) buy; rise (D) buy; fall 7. Reducing the money supply ______ nom