Quiz7Ch25

Due Jul31at11:59pm
TimeLimit 40Minutes

Points 15
Questions 15
AllowedAttempts 2

Available Jul25at12amJul31at11:59pm 7days

Instructions

Quiz7
Chapter25

InstructionsPleaseReadCarefully
Thisquizcontains15multiplechoicequestions,andyouarerequiredtoanswerall
questions.Eachquestionisworth1pointforatotalof15points.Foreachquestion,
choosethebestanswerfromthelistofoptionsprovidedafterthequestion.Thequizwill
lastfor40minutesandtheclockstartsrunningafteryouclickon"TaketheQuiz".
Youhaveonlytwoattemptsandyougettokeepthehighestofthetwoscores
GoodLuck.

TaketheQuizAgain

AttemptHistory

LATEST

Attempt

Time

Score

Attempt1

18minutes

12outof15

Answerswillbeshownafteryourlastattempt
Scoreforthisattempt:12outof15
SubmittedJul29at4:56pm

Thisattempttook18minutes.

Incorrect

Question1

0/1pts

Ahousehold'swealthis:

whatitearnseachperiod.
whatitsaveseachperiod.
thevalueofitsaccumulatedsavings.
thevalueofitsfinancialassets.

Question2

1/1pts

Aliquidasset:

canbeeasilyconvertedtoaloan.
canbeeasilyconvertedtocashwithlittleornolossofvalue.
aretheonlyassetswhichfinancialmarketsworkwith.
carriesnofinancialrisk.

Question3

AllofthefollowingarefinancialintermediariesEXCEPT:

mutualfunds.
pensionfunds.
insurancecompanies.
theNewYorkStockExchange.

1/1pts

Question4

1/1pts

Allotherthingsunchanged,ageneraldecreaseintheamountofgovernmentborrowingwilltypically:

havenoeffectonthedemandforloanablefunds.
increaseinterestrates.
shifttheloanablefundsdemandcurvetotheleft.
raisethelevelofdemandforloanablefunds.

Incorrect

Question5

0/1pts

Ariskaverseperson:

considersanyriskunacceptable.
wouldneverbuyafinancialasset.
hasanasymmetricviewofthevalueoflossesandgains.
wouldneverbuyinsurance.

Question6

Crowdingoutresultsina(n):

decreaseinprivateinvestmentspendingresultingfromgovernmentdeficitspending.
increaseinaccumulationofphysicalcapital,whichleadstohighereconomicgrowth.
increaseinprivateinvestmentspendingresultingfromgovernmentdeficitspending.
increaseinconsumptionspendingasaresultofhigherinvestmentspending.

1/1pts

Question7

1/1pts

Figure:DemandforLoanableFunds

Reference:Ref108

(Figure:DemandforLoanableFunds)LookatthefigureDemandforLoanableFunds.Whentheinterestrateis
6%,thequantitydemandedofloanablefundswillequal:

$30billion.
$40billion.
$50billion.
$60billion.

Question8

Figure:TheMarketforLoanableFundsII

1/1pts

Reference:Ref1013

(Figure:TheMarketforLoanableFundsII)LookatthefigureTheMarketforLoanableFundsII.Iftheinterest
rateislowerthan8%,thequantitysuppliedofloanablefundswill_____thequantityofloanablefunds
demanded.

begreaterthan
belessthan
equal
Thequantitysuppliedofloanablefundscannotbedeterminedfromtheinformationprovided.

Question9

1/1pts

Givenanannualinterestrateof3%,thepresentvalueofafuturepaymentof$2,080tobepaidinoneyearis:

$1,904.76.
$2,000.00.
$2,019.42.
$2,080.00.

Question10

1/1pts

Inaclosedeconomy,investmentspending,I,mustequal:

GDPCG.
GDPC.
GDPCGX.
GDP[CG].

Question11

1/1pts

Inanopeneconomygovernmentspendingwas$30billion,consumptionwas$70billion,taxeswere$20
billion,GDPwas$100billion,andinvestmentspendingwas$10billion.Asaresult,therewas:

anetcapitalinflowof$10billion.
capitalinflowsof$10billionandcapitaloutflowsof$20billion.
atradesurplusof$20billionandafinancialdeficitof$20billion.
anetcapitaloutflowof$10billion.

Question12

1/1pts

Investmentspendinginmacroeconomicsrefersto:

buyingstocks.
buyingnewlyissuedsharesofstock.
addingtophysicalcapital.
addingtoone'sretirementaccount.

Question13

1/1pts

Privatesavingsequals:

incomeaftertaxesminusconsumption.
taxesminusgovernmentspendingongoodsandservices.
thetotalamountofsavingsaccountsplusstocksplusbondsownedbyhouseholds.
incomeplusinvestment.

Question14

1/1pts

Supposealenderexpectsarealinterestrateof6%andtheinflationrateisexpectedtobe3%.Inthiscase,the
nominalinterestrateequals:

3%.
9%.
12%.
6%.

Incorrect

Question15

0/1pts

Themainroleoffinancialsystemsisto:

makethecapitalistclassricher.
providecreditcardstoasmanypeopleaspossible.
channelgoodsandservicestothepeoplewillingtopayforthem.
channelfundsfromsaversintoinvestments.

QuizScore:12outof15