Transcript daily double

Fiscal Policy
Monetary Policy
Economic Growth
Bonus!
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9/19/08
Final Jeopardy
Topic 1 - For 100
Conducts fiscal policy.
What is the president and Congress
Topic 1 - For 200
By using an expansionary fiscal policy,
we are trying to change the
economy’s output
Will it increase?
Topic 1 - For 300
Unemployment is going up – a certain
fiscal policy is in place
What is a contractionary fiscal policy?
Topic 1 - For 400
DAILY DOUBLE: you can wager up to
the total number of points you
currently have.
An expansionary fiscal policy would have
what kind of an effect on the supply of
money?
None – fiscal policies do not affect the supply of money (they
affect the demand for money).
Topic 1 - For 500
Has the same effect as a tax increase
in fiscal policy.
How much will spending decrease?
Topic 2 - For 100
The institution that conducts monetary
policy.
What is the Fed (Federal Reserve)?
Topic 2 - For 200
There are two kinds of monetary policy.
What are easy and tight money policies?
Topic 2 - For 300
The policy that expands the supply of
money.
Easy money policy
Topic 2 - For 400
An easy money policy will have an
effect on employment.
Will N increase?
Topic 2 - For 500
This type of monetary policy causes
inventories to rise.
Tight money policy.
Topic 3 - For 100
Name the three factors of production.
What are land, labor, and capital?
Topic 3 - For 200
Investment (I) affects which factor of
production?
What is capital?
Topic 3 - For 300
True or false: In this section we
measure the size of the economy by
what it could produce with full
employment of labor and capital.
Is it true?
Topic 3 - For 400
The three mandates of the Fed include
economic growth and two more.
Why do we want stable prices and full employment?
Topic 3 - For 500
DAILY DOUBLE: you can wager up to
the total number of points you
currently have.
Nick’s SI sessions are in specific times and
places today and tomorrow.
Why are they at 1:00 and 6:00 in Zimm 345?
Topic 4 - For 100
True or False: A stock or a bond is an
example of an income-earning asset.
True.
Topic 4 - For 200
True or False: If the price of an asset
goes up, the interest you will receive
on the asset also goes up.
False.
Topic 4 - For 300
True or False: When demand for money
is high, people will buy incomeearning assets.
False.
Topic 4 - For 400
True or False: An expansionary fiscal
policy will increase the supply of
money.
False!
Topic 4 - For 500
The best way to study for this exam
#3.
How can we get the practice test? (Mention tutorials)
Final Jeopardy
Category: 1000
A contractionary fiscal policy will meet
which of our three big objectives?
Economic growth and stable prices, but not full employment.