5.08 Module Five Exam

Which of the following describes a developing nation? A command economy with a low Human Development Index A mixed economy with a high Human Development Index A market economy with a high per capita income A market economy with trillion-dollar gross domestic product

Keynes would most likely support a plan for government ownership of most production creating a worldwide free trade agreement eliminating income taxes on the wealthy income taxes based on ability to pay

According to the chart, which country has an absolute advantage over the other countries in oil production? Brazil Mexico Argentina United States

Supply and demand determines prices levels for goods and services in a market economy traditional economy demand economy command economy

Globalization increases the interdependency of the world's countries. Inflation in one country would most likely not impact inflation in other countries cause deflation in other countries result in stagflation in other countries relate to inflation in other countries

Which economic advantages does the United States have compared to other nations? Expansive territory, fertile farmland Extensive oil reserves, inexpensive labor force Inexpensive labor force, expansive territory Large deposits of diamonds, fertile farmland

The United States imposes a tariff on electronics imported from China. Which would be a result? China stops marketing all products to U.S. consumers The cost of Chinese electronics goes down Electronics trade with China increases U.S. consumers buy more domestically made electronics

The government institutes a new job-training program to prepare economically disadvantaged citizens for higher-paying, technologically advanced jobs. This action benefits the goal of equity by ensuring workers are more productive helping minimize the education gap raising government spending reducing unemployment

A high inflation rate is most difficult for people with income dependent on stock ownership who wish to begin investing for the future working for financial companies living with fixed incomes

Which of these is a sign of inflation? A negative number for the Consumer Price Index shows prices are falling. A negative number for the Consumer Price Index shows prices are rising. A positive number for the Consumer Price Index shows prices are falling. A positive number for the Consumer Price Index shows prices are rising.

Look at the map showing the European Union (EU) and its free-trade agreement (FTA) countries. Which of the following is true of most of the negotiating countries? They transport most exports by land. They have access to the ocean. They are primarily English-speaking. They are in the Southern Hemisphere.

International officials and business leaders have gathered to discuss free-trade policies. Outside their summit, protesters shout, "People before profit." These activists most likely align with which economic theory? Adam Smith's unregulated supply and demand John Maynard Keynes's limited government intervention John Maynard Keynes's mixed market forces Karl Marx's collapse of capitalism

Inflation is the general rise in prices over time general reduction of prices over time decline phase of the business cycle decline in costs for a specific industry

Why does a large industrial sector not always indicate that a nation is fully developed? Development depends on rate of industrialization The standard of living may not have risen with industrial growth Environmental standards may differ from industrial standards Focus on industry may slow technological advancement

Because the United States has an embargo on Cuba, the United States regularly increases the taxes on Cuban imports Cuba exports the majority of Cuban products to American companies virtually no Cuban products are legally available in the United States Cuba must sell products directly to state governments in the United States

Based on the data in the chart, which of the following scenarios presents the most efficient use of resources? Country A produces yarn and fabric, and Country B imports both Country A produces yarn, and Country B produces fabric Country B produces yarn, and Country A produces fabric Country B produces yarn and fabric, and Country A imports both