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Multiple Choice Quiz
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Use the following information to answer questions 1 to 4:

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1
Following the table above, the amount of saving is:
A)$2,000
B)$10,000
C)$12,000
D)$15,000
2
Following the table above, the saving rate is:
A)5.00%
B)8.00%
C)16.67%
D)20.00%
3
Following the table above, wealth amounts to:
A)$2,000
B)$12,000
C)$15,000
D)$40,000
4
If, in the past year, wealth amounted to $10,000, savings amounted to $3,000, and capital losses amounted to $3,500, then capital gains amounted to:
A)$2,000
B)$5,500
C)$8,000
D)$10,500
5
A variable that is defined at a point in time is known as:
A)A point variable
B)A stock variable
C)A flow variable
D)None of the above

Use the following information for a hypothetical economy to answer questions 6 to 8:

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6
Based on the table above, private saving amounts to:
A)$8,000,000
B)$20,000,000
C)$30,000,000
D)$50,000,000
7
Based on the table above, public saving amounts to:
A)$-2,000,000
B)$2,000,000
C)$-10,000,000
D)$10,000,000
8
Based on the table above, national saving amounts to:
A)$10,000,000
B)$18,000,000
C)$20,000,000
D)$22,000,000
9
The excess of government net tax collections over spending is known as:
A)Government budget surplus
B)Government budget deficit
C)Balanced budget
D)None of the above
10
Saving to leave an inheritance is known as:
A)Inheritance saving
B)Life-cycle saving
C)Precautionary saving
D)Bequest saving
11
When deciding whether or not to invest in capital, we invest in capital if:
A)The value of the marginal product of the capital is less than the cost of the capital
B)The value of the total product of the capital is less than the cost of the capital
C)The value of the total product of the capital is greater than the cost of the capital
D)The value of the marginal product of the capital is greater than the cost of the capital
12
A government budget deficit:
A)Shifts the savings curve to the left
B)Shifts the savings curve to the right
C)Shifts the investment curve to the left
D)Shifts the investment curve to the right
13
Technological improvements that increase the marginal productivity of capital result in:
A)A higher interest rate and a lower level of savings and investment
B)A higher interest rate and a higher level of savings and investment
C)A lower interest rate and a higher level of savings and investment
D)A lower interest rate and a lower level of savings and investment







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