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2-2 Economic Conditions Change
Test Description: Review for first semester finial
Instructions: Answer all questions to get your test result.
1) _____ are recurring ups and downs of GDP.
A
deflation
B
inflation
C
business cycles
D
interest
2) This period is which most people want to work and are working
A
recession
B
prosperity
C
despression
D
Recovery
3) ________ is a period in which demand begins to decrease, unemployment begins to rise, and GDP growth slows.
A
Recession
B
depression
C
prosperity
D
recovery
4) This is the period that is marked by a long phase of high unemployment.
A
depression
B
recession
C
recovery
D
prosperity
5) This is a phase when unemployment begins to decrease and GDP begins to rise.
A
recovery
B
prosperity
C
recession
D
depression
6) ____ is an increase in general level of prices
A
Inflation
B
Deflation
C
Reflation
D
Unflation
7) A _____ is a number that compares prices in one year with prices in some earlier base year.
A
consumer index
B
GDP
C
gross nation product
D
price index
8) The _____ rate is the rate bvanks make available to their best business customers, such as large corporation
A
t-bill
B
primate
C
discount
D
mortgage
9) A ______ is the rate for deposits at savings institutions
A
corporate bone rate
B
mortgage rate
C
treasury bond rate
D
certification of deposit rate
10) A _____ is the yield on long term (20 year) U.S government debt obligations.
A
treasury bond rate
B
primate rate
C
t-bill rate
D
discount rate
*select an answer for all questions
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