* not completed

. Economic growth can be measured by:

The CPI correct incorrect

The CBI correct incorrect

GDP correct incorrect

MPC correct incorrect

* not completed

. In a boom:

Unemployment is likely to fall correct incorrect

Prices are likely to fall correct incorrect

Demand is likely to fall correct incorrect

Imports are likely to fall correct incorrect

* not completed

. In a recession, GDP:

Grows negatively correct incorrect

Grows slowly correct incorrect

Grows by 0% correct incorrect

Grows rapidly correct incorrect

* not completed

. To boost economic growth the government is most likely to:

Increase interest rates correct incorrect

Increase taxation rates correct incorrect

Provide incentives to invest correct incorrect

Provide incentives to save correct incorrect

* not completed

. A government is most likely to use a reflationary policy:

In a recession correct incorrect

In a boom correct incorrect

When there is fast GDP growth correct incorrect

When prices are increasing fast correct incorrect

* not completed

. Potential growth measures:

The growth of the fastest economy in the world correct incorrect

The fastest growth an economy has ever achieved correct incorrect

The present rate of growth of an economy correct incorrect

The rate of growth that could be achieved if resources were fully employed correct incorrect

* not completed

. Economic growth can be seen by an outward shift of:

The Production Possibility Frontier correct incorrect

The Gross Domestic Barrier correct incorrect

The Marginal Consumption Frontier correct incorrect

The Minimum Efficient Scale correct incorrect

* not completed

. The socially optimal rate of growth is:

Zero correct incorrect

Negative correct incorrect

Where the marginal social benefit = the marginal social cost correct incorrect

Total social costs are minimized correct incorrect

* not completed

. To anticipate what the economy is going to do next the government will look at:

Lagging indicators correct incorrect

Flashing indicators correct incorrect

Coincidental indicators correct incorrect

Leading indicators correct incorrect

* not completed

. The output gap is:

The difference between this year's and last year's output correct incorrect

The difference between this year's and next year's output correct incorrect

The difference between actual and potential output correct incorrect

The difference between actual and expected outputs correct incorrect