|Name: _________________________||Period: ___________________|
This test consists of 5 short answer questions, 10 short essay questions, and 1 (of 3) essay topics.
Short Answer Questions
1. According to the author in Chapter 9, to ensure accuracy, the real GDP is a figure that has been adjusted to account for what?
2. When did the United Nations Monetary and Financial Conference take place?
3. What does ERM stand for?
4. In the year 2000, a pair of stockings on average would cost how much, according to the author in Chapter 9?
5. What is the ninth factor one should consider along with the GDP to understand an economy, according to the author in Chapter 9?
Short Essay Questions
1. How does the author describe the relationship between the GDP and quality of life in India in Chapter 9?
2. How is the gold standard described in Chapter 11? What is the problem with the gold standard?
3. How does the author illustrate time and price value in America in Chapter 9?
4. What does the author assert nations need beyond natural resources in order to succeed in Chapter 13?
5. How does the author describe the recessions of the U.S. and the Japanese in Chapter 9?
6. How is the Federal Reserve described in Chapter 10? What is the role of the Fed?
7. What can be seen about the American economy by looking at the GDP, as illustrated in Chapter 9?
8. What are the benefits of the HDI versus the GDP according to the author in Chapter 9?
9. How does the author address the issue of protectionism in Chapter 12?
10. What are the motivations of those receiving subsidies, as described by the author in Chapter 8?
Write an essay for ONE of the following topics:
Essay Topic 1
Discuss the career of economist Burton G. Malkiel and the efficient market hypothesis. When was the efficient market hypothesis developed? What ideas are presented in Malkiel's "A Random Walk Down Wall Street"? What does Malkiel write in the Forward to "Naked Economics: Undressing the Dismal Science"?
Essay Topic 2
Define and discuss perverse incentives in economics. What example is used from Mexico City in Chapter 2? When did this governmental action take place and what results came of the actions? How was the pollution of Mexico City affected by legislation?
Essay Topic 3
Discuss the use of stock options as a means to develop company loyalty. Why does Michael Jenson oppose stock options? What does he refer to them as in Chapter 2? What, according to the author, motivates talented teachers to leave to go onto other professions?
This section contains 965 words
(approx. 4 pages at 300 words per page)