Question 1

Portfolio manager Peter Lynch would classify Coca-Cola as _________.

Accepted Answer

A)   an asset play
B)   a slow grower
C)   a stalwart
D)   a turnaroundE) A) and D)
F) All of the above

Question 2

The goal of supply side policies is to _______.

Accepted Answer

A)   increase government involvement in the economy
B)   create an environment where workers and owners of capital have the maximum incentive and ability to produce and develop goods
C)   maximize tax revenues of the government
D)   focus more on wealth redistribution policiesE) B) and C)
F) A) and D)

Question 3

During 2004 China increased its use of global oil by 40%.This followed a 100% increase during the previous 5 years.How do economists refer to this kind of economic event?

Accepted Answer

A)   Demand shock
B)   Equilibrium event
C)   Expanding commodity event
D)   Supply shockE) A) and C)
F) A) and B)

Question 4

Supply side economics tends to focus on _______________.

Accepted Answer

A)   government spending
B)   price controls
C)   monetary policy
D)   increasing productive capacityE) B) and C)
F) None of the above

Question 5

A supply side economist would likely agree with which of the following statements?

Accepted Answer

A)   Real output and aggregate employment are primarily determined by aggregate demand.
B)   Real income will rise when government expenditures and tax rates increase.
C)   Real output and aggregate employment are primarily determined by tax rates.
D)   Increasing the money supply will increase real output without causing higher inflation.E) B) and C)
F) All of the above

Question 6

Which of the following are examples of cyclical industries?
I.Maytag
II.Computer chip manufacturers
III.Kellogg's Frosted Flakes
IV.Pfizer

Accepted Answer

A)   I and II only
B)   I, II and III only
C)   II, III and IV only
D)   I, II, III and IVE) None of the above
F) A) and D)

Question 7

Which of the following affects a firm's sensitivity of its earnings to the business cycle?
I.Financial leverage
II.Operating leverage
III.Type of product

Accepted Answer

A)   II only
B)   I and II only
C)   I and III only
D)   I, II and IIIE) A) and B)
F) A) and D)

Question 8

The Fed funds rate is the __________.

Accepted Answer

A)   interest rate that banks charge their best corporate customers
B)   interest rate banks charge each other for overnight loans of deposits on reserve at the Fed
C)   interest rate the Fed charges commercial banks on short term loans
D)   interest rate that the U.S. Treasury pays on its billsE) A) and D)
F) All of the above

Question 9

What economic variable is most closely associated with increasing corporate profits?

Accepted Answer

A)   Exchange rates
B)   Inflation
C)   Gross domestic product
D)   Budget deficitsE) All of the above
F) C) and D)

Exam 12: Macroeconomic and Industry Analysis

During 2004 China increased its use of global oil by 40%.This followed a 100% increase during the previous 5 years.How do economists refer to this kind of economic event?

Correct Answer
verified

Portfolio manager Peter Lynch would classify Coca-Cola as _________.

Correct Answer
verified

The Fed funds rate is the __________.

Correct Answer
verified

Supply side economics tends to focus on _______________.

Correct Answer
verified

A supply side economist would likely agree with which of the following statements?

Correct Answer
verified

The goal of supply side policies is to _______.

Correct Answer
verified

What economic variable is most closely associated with increasing corporate profits?

Correct Answer
verified

Which of the following affects a firm's sensitivity of its earnings to the business cycle? I.Financial leverage II.Operating leverage III.Type of product

Correct Answer
verified

Which of the following are examples of cyclical industries? I.Maytag II.Computer chip manufacturers III.Kellogg's Frosted Flakes IV.Pfizer

Correct Answer
verified

Exam 12: Macroeconomic and Industry Analysis

During 2004 China increased its use of global oil by 40%.This followed a 100% increase during the previous 5 years.How do economists refer to this kind of economic event?

Correct AnswerverifiedShow Answer

Portfolio manager Peter Lynch would classify Coca-Cola as _________.

Correct AnswerverifiedShow Answer

The Fed funds rate is the __________.

Correct AnswerverifiedShow Answer

Supply side economics tends to focus on _______________.

Correct AnswerverifiedShow Answer

A supply side economist would likely agree with which of the following statements?

Correct AnswerverifiedShow Answer

The goal of supply side policies is to _______.

Correct AnswerverifiedShow Answer

What economic variable is most closely associated with increasing corporate profits?

Correct AnswerverifiedShow Answer

Which of the following affects a firm's sensitivity of its earnings to the business cycle? I.Financial leverage II.Operating leverage III.Type of product

Correct AnswerverifiedShow Answer

Which of the following are examples of cyclical industries? I.Maytag II.Computer chip manufacturers III.Kellogg's Frosted Flakes IV.Pfizer

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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