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THIS IS

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With Host... Your

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100 200 300 400 500 Column A AColumn B BColumn C CColumn D DColumn E E Column F

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A 100

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Draw the regular D and S graph. Draw a dot showing a decrease in P and a decrease in Q Figure out what could have caused that by drawing in the lines. Decrease in demand and no change in supply A 100

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A 200

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If the budget deficit increases(more spending than taxes in a given year) it will increase the gov.s demand for loans. If the gov., increases demand for loans, IR will increase. A 200

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1.Suppose that in an economy with lump- sum (disregard) taxes, autonomous (disregard) investment spending increases by $10 million. If the marginal propensity to consume is 0.8, equilibrium gross domestic product will change by a maximum of: 2.New scenario, taxes decrease by the same amount assuming the same MPC A 300

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1.Spending multiplier: 1/MPS 1/.2=5 5 * positive 10 million= 50 million increase 2.Tax multiplier: -MPC/MPS -.8/.2= -4 -4 * negative (decrease) $10 million= 40 million increase A 300

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A 400

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A-D will increase the productivity of labor. Just because the labor force increases does not necessarily mean that they will be more productive. However, all A-E would shift the PPC outward and the LRAS to the right. Why? They are all an increase in resources. A 400

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A 500

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MPC is the change in spending brought by a change in income. If income increases by 10,000 and the MPC is point.8, then consumption will increase by 8,000 A 500

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B 100

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Most of you know that inside is inefficient or unemployment, on the line is (productively efficient, and outside is currently unattainable. Missed on last testonly one point of the curve represents the best mix of goods. B 100

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B 200

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If set at a balanced budget at full employment, thendeficit during recession (more spending, less taxes) and surplus during inflation B 200

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B 300

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C

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B 400

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If a decrease in exports, the AD will decrease. Find a FISCAL POLICY that will increase AD.-- B B 400

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B 500

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C

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C 100

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D

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C 200

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E

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C 300

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Best answer is C. Choice A could increase economic growth b/c an increase in population is an increase in resources, but would probably not increase per capita RGDP, which is the best measure of the standard of living. C 300

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DAILY DOUBLE C 400 DAILY DOUBLE Place A Wager

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C 400

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B

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C 500

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MPC is.9 Then, MPS is.1 Gov spending increases by $100, but exports decrease by $60. So, $40 injection. 1/.1=10 10 x 40=400--B C 500

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D 100

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A

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D 200

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C

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D 300

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D

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D 400

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B

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D 500

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Down the Phillips Curve=decrease in AD B D 500

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E 100

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E Talk about LRAS, LRPC, and PPC E 100

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E 200

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Correct Response Two E E 200

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Question Number Three E E 300

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B

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Question Number Four E E 400

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SRAS decreases--A E 400

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E 500

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A

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F 100

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D

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F 200

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C

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F 300 Draw crowding out. 1.Show an economy in a recession in one color. 2.After expansionary fp, what happens to AD/ 3.Due to expansionary FP, what happens to the budget? 4.Draw the loanable funds graph. What happens as a result of #3. What happened to the RIR? 5.What will happen to interest-sensitive consumption spending and businesses purchase of capital goods (AD)? 6.What will happen to long-run growth?

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F 300

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F 400 1.Draw an economy in full employment equilibrium. 2.Businesses inflationary expectations increase. What happens to SRAS? 3.What happened to inflation? 4.What happened to REAL wages? Take note--In the SRnominal wages stay the same (unless other wise stated). 5.After #2, show the change in the Phillips Curve

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F 400

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F 500 1.Does unanticipated inflation help net creditors or net debtors? EXPLAIN. Netafter subtracting EX. My husband and I owe $100,000 on our student loans and $140,000 on our house. If we have $10,000 in savings (our saving are loaned out to others), then we are NET DEBTORS by $230,000.

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F 500

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The Final Jeopardy Category is: Please record your wager. Click on screen to begin

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Final Jeopardy Question Click on screen to continue

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Correct Final Jeopardy Response Click on screen to continue

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Thank You for Playing Jeopardy! Game Designed By C. Harr-MAIT