« Home

Home » Business & Economics » Economics » Gillespie: Foundations of Economics » Student resources » Multiple choice questions » Unit 31

Gillespie: Foundations of Economics
Student resources
Additional chapter on Business Strategy
Advanced material
- Marginal and Total Utility
- Indifference Curve Analysis
- Demand, Supply and Equilibrium - Mathematically
- The Cobweb
- Common Agricultural Policy (CAP)
- Prisoners' Dilemma
- Trade Unions
- Factors of Production
- Paradox of Thrift
- The Keynesian Savings Function
Flashcard glossaries
Multiple choice questions
- Unit 1
- Unit 2
- Unit 3
- Unit 4
- Unit 5
- Unit 6
- Unit 7
- Unit 8
- Unit 9
- Unit 10
- Unit 11
- Unit 12
- Unit 13
- Unit 14
- Unit 15
- Unit 16
- Unit 17
- Unit 18
- Unit 19
- Unit 20
- Unit 21
- Unit 22
- Unit 23
- Unit 24
- Unit 25
- Unit 26
- Unit 27
- Unit 28
- Unit 29
- Unit 30
- Unit 31
- Unit 32
- Unit 33
- Unit 34
Oxford NewsNow
Unit support
- Unit 1
- Unit 2
- Unit 3
- Unit 4
- Unit 5
- Unit 6
- Unit 7
- Unit 8
- Unit 9
- Unit 10
- Unit 11
- Unit 12
- Unit 13
- Unit 14
- Unit 15
- Unit 16
- Unit 17
- Unit 18
- Unit 19
- Unit 20
- Unit 21
- Unit 22
- Unit 23
- Unit 24
- Unit 25
- Unit 26
- Unit 27
- Unit 28
- Unit 29
- Unit 30
- Unit 31
- Unit 32
- Unit 33
- Unit 34
Web links
- Links to economic organisations
- Links to other resources
Lecturer resources
Figures from the textbook
- Unit 1
- Unit 2
- Unit 3
- Unit 4
- Unit 5
- Unit 6
- Unit 7
- Unit 8
- Unit 9
- Unit 10
- Unit 11
- Unit 12
- Unit 13
- Unit 14
- Unit 15
- Unit 16
- Unit 17
- Unit 18
- Unit 19
- Unit 20
- Unit 21
- Unit 22
- Unit 23
- Unit 24
- Unit 25
- Unit 26
- Unit 27
- Unit 28
- Unit 29
- Unit 30
- Unit 31
- Unit 32
- Unit 33
Instructor's manual
- Unit 1
- Unit 2
- Unit 3
- Unit 4
- Unit 5
- Unit 6
- Unit 7
- Unit 8
- Unit 9
- Unit 10
- Unit 11
- Unit 12
- Unit 13
- Unit 14
- Unit 15
- Unit 16
- Unit 17
- Unit 18
- Unit 19
- Unit 20
- Unit 21
- Unit 22
- Unit 23
- Unit 24
- Unit 25
- Unit 26
- Unit 27
- Unit 28
- Unit 29
- Unit 30
- Unit 31
- Unit 32
- Unit 33
- Unit 34
PowerPoint slides
- Unit 1
- Unit 2
- Unit 3
- Unit 4
- Unit 5
- Unit 6
- Unit 7
- Unit 8
- Unit 9
- Unit 10
- Unit 11
- Unit 12
- Unit 13
- Unit 14
- Unit 15
- Unit 16
- Unit 17
- Unit 18
- Unit 19
- Unit 20
- Unit 21
- Unit 22
- Unit 23
- Unit 24
- Unit 25
- Unit 26
- Unit 27
- Unit 28
- Unit 29
- Unit 30
- Unit 31
- Unit 32
- Unit 33
- Unit 34
Test bank
- Test bank in Questionmark Perception format, version 3
- Test bank in QTI XML format
- Test bank in Respondus format
- Test bank in Word format
VLE content
Search for an Online Resource Centre
Learn about Online Resource Centres
Demonstration Online Resource Centre
Learn about VLE/CMS content
Learn about Test Banks
Online Resource Centres Help
Find a textbook
Find your sales representative
Find a Higher Education contact
Send us your feedback

Gillespie: Foundations of Economics

Unit 31

Instructions

Choose your answers from a-d by clicking the radio button next to each choice and then press 'Submit' to get your score.

Question 1

Which of the following is not an argument for protectionism?

a) To protect infant industries

b) To increase the level of imports

c) To protect strategic industries

d) To improve the balance of payments

Question 2

A demand switching policy could be

a) Higher interest rates

b) Higher income tax

c) Tariffs

d) Reduced government spending

Question 3

Free trade is based on the principle of:

a) Comparative advantage

b) Comparative scale

c) Economies of advantage

d) Production possibility advantage

Question 4

If a country can produce 10 of product A or 4 of product B the opportunity cost of 1B is:

a) 0.4A

b) 2.5A

c) 10A

d) 1B

Question 5

Tariffs:

a) Decrease the domestic price of a product

b) Increase government earnings from tax

c) Increase the quantity of imports

d) Decrease domestic production

Question 6

The terms of trade measure:

a) The income of one country compared to another

b) The GDP of one country compared to another

c) The quantity of exports of one country compared to another

d) Export prices compared to import prices

Question 7

In a floating exchange rate system:

a) The government intervenes to influence the exchange rate

b) The exchange rate should adjust to equate the supply and demand of the currency

c) The Balance of Payments should always be in surplus

d) The Balance of payments will always equal the government budget

Question 8

The marginal propensity to consume is equal to:

a) Total spending / total consumption

b) Total consumption / total income

c) Change in consumption / change in income

d) Change in consumption / change in savings

Question 9

If there is a balance of payments deficit then in a floating exchange rate system:

a) The external value of the currency would tend to fall

b) The external value of the currency would tend to rise

c) The injections from trade are greater than the withdrawals

d) Aggregate demand is increasing

Question 10

To prevent the external value of the currency from falling the government might:

a) Reduce interest rates

b) Sell its own currency

c) Buy its own currency with foreign reserves

d) Increase its own spending

View print version

Oxford University Press, Online Resource Centre, Unit 31.