1)Educational services provided by public schools are: Select one:excluded from GDP because they are not sold in markets b.included in GDP at market…

1)Educational services provided by public schools are:

Select one:

a. excluded from GDP because they are not sold in markets

b. included in GDP at market prices

c. excluded from GDP because they are publicly provided

d. included in GDP at cost

2)An increase in the price of the output produced by labour will:

Select one:

a. decrease the supply of labour

b. increase the supply of labour

c. decrease the demand for labour

d. increase the demand for labour

3)As the real interest rate increases, the quantity of saving supplied _____ and the quantity of saving demanded ____.

Select one:

a. increases; increases

b. increases; decreases

c. decreases; increases

d. does not change; does not change

4)An appropriate policy for reducing structural unemployment would be:

Select one:

a. a tax cut

b. an increase in the money supply

c. an increase in government spending

d. programs for the retraining and relocating of labour

5)If the total expenditures of a typical family equalled $35 000 per year in 2000 and the exact same basket of goods and services cost $40 000 in the year 2003, the family’s cost of living:

Select one:

a. increased by 12.5%

b. increased by 14%

c. decreased by 14%

d. decreased by 12.5%

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