经济学原理对应练习--24.doc

经济学原理对应练习--24.doc

《经济学原理对应练习--24.doc》由会员分享，可在线阅读，更多相关《经济学原理对应练习--24.doc（33页珍藏版）》请在冰点文库上搜索。

Chapter24/MeasuringtheCostofLivingv1045

Chapter24

MeasuringtheCostofLiving

MultipleChoice

1. BabeRuth,thefamousbaseballplayer,earned$80,000in1931.Today,thebestbaseballplayerscanearnmorethan300timesasmuchasBabeRuthearnedin1931.However,pricesalsohaverisensince1931.Wecanconcludethat

a. thebestbaseballplayerstodayareabout300timesbetteroffthanBabeRuthwasin1931.

b. becausepriceshaverisenalso,thestandardoflivingofbaseballstarshasn'tchangedsince1931.

c. onecannotmakejudgmentsaboutchangesinthestandardoflivingbasedonchangesinpricesandchangesinincomes.

d. onecannotdeterminewhetherbaseballstarstodayenjoyahigherstandardoflivingthanBabeRuthdidin1931withoutadditionalinformationregardingincreasesinpricessince1931.

ANS:

D PTS:

1 DIF:

2 REF:

24-0

TOP:

Prices|Standardofliving MSC:

Interpretive

2. Whentheconsumerpriceindexrises,thetypicalfamily

a. hastospendmoredollarstomaintainthesamestandardofliving.

b. canspendfewerdollarstomaintainthesamestandardofliving.

c. findsthatitsstandardoflivingisnotaffected.

d. canoffsettheeffectsofrisingpricesbysavingmore.

ANS:

A PTS:

1 DIF:

1 REF:

24-0

TOP:

Consumerpriceindex|Standardofliving MSC:

Interpretive

3. Theconsumerpriceindexisusedto

a. trackchangesinthelevelofwholesalepricesintheeconomy.

b. monitorchangesinthecostofliving.

c. monitorchangesinthelevelofrealGDP.

d. trackchangesinthestockmarket.

ANS:

B PTS:

1 DIF:

1 REF:

24-0

TOP:

Consumerpriceindex MSC:

Interpretive

4. Theconsumerpriceindexisusedto

a. differentiategrossnationalproductfromnetnationalproduct.

b. turndollarfiguresintomeaningfulmeasuresofpurchasingpower.

c. characterizethetypesofgoodsandservicesthatconsumerspurchase.

d. measurethequantityofgoodsandservicesthattheeconomyproduces.

ANS:

B PTS:

1 DIF:

1 REF:

24-0

TOP:

Consumerpriceindex MSC:

Interpretive

5. Theterminflationisusedtodescribeasituationinwhich

a. theoveralllevelofpricesintheeconomyisincreasing.

b. incomesintheeconomyareincreasing.

c. stock-marketpricesarerising.

d. theeconomyisgrowingrapidly.

ANS:

A PTS:

1 DIF:

1 REF:

24-0

TOP:

Inflation MSC:

Definitional

6. Economistsusetheterminflationtodescribeasituationinwhich

a. somepricesarerisingfasterthanothers.

b. theeconomy'soverallpricelevelisrising.

c. theeconomy'soverallpricelevelishigh,butnotnecessarilyrising.

d. theeconomy'soveralloutputofgoodsandservicesisrisingfasterthantheeconomy'soverallpricelevel.

ANS:

B PTS:

1 DIF:

1 REF:

24-0

TOP:

Inflation MSC:

Definitional

7. Whentheoveralllevelofpricesintheeconomyisincreasing,wesaythattheeconomyisexperiencing

a. economicgrowth.

b. stagflation.

c. inflation.

d. deflation.

ANS:

C PTS:

1 DIF:

1 REF:

24-0

TOP:

Inflation MSC:

Definitional

8. Theinflationrateisdefinedasthe

a. pricelevel.

b. changeinthepricelevelfromoneperiodtothenext.

c. percentagechangeinthepricelevelfromthepreviousperiod.

d. pricelevelminusthepricelevelfromthepreviousperiod.

ANS:

C PTS:

1 DIF:

1 REF:

24-0

TOP:

Inflationrate MSC:

Definitional

9. Theeconomy'sinflationrateisthe

a. pricelevelinthecurrentperiod.

b. changeinthepricelevelfromthepreviousperiod.

c. changeinthegrossdomesticproductfromthepreviousperiod.

d. percentagechangeinthepricelevelfromthepreviousperiod.

ANS:

D PTS:

1 DIF:

1 REF:

24-0

TOP:

Inflationrate MSC:

Definitional

10. TheCPIisameasureoftheoverallcostof

a. inputspurchasedbyatypicalproducer.

b. goodsandservicesboughtbyatypicalconsumer.

c. goodsandservicesproducedintheeconomy.

d. stocksontheNewYorkStockExchange.

ANS:

B PTS:

1 DIF:

1 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

11. WhichofthefollowingagenciescalculatestheCPI?

a. theNationalPriceBoard

b. theDepartmentOfWeightandMeasurements

c. theBureauofLaborStatistics

d. theCongressionalBudgetOffice

ANS:

C PTS:

1 DIF:

1 REF:

24-1

TOP:

Consumerpriceindex|BureauofLaborStatistics MSC:

Definitional

12. WhichentitywithintheU.S.governmentisresponsibleforcomputingandreportingtheconsumerpriceindex?

a. theDepartmentofCommerce

b. theDepartmentofLabor

c. theGeneralAccountingOffice

d. theCouncilofEconomicAdvisers

ANS:

B PTS:

1 DIF:

1 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

13. TheCPIiscalculated

a. weekly.

b. monthly.

c. quarterly.

d. yearly.

ANS:

B PTS:

1 DIF:

1 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

14. TheCPIiscalculated

a. monthlybytheDepartmentofCommerce.

b. monthlybytheBureauofLaborStatistics.

c. quarterlybytheDepartmentofCommerce.

d. quarterlybytheBureauofLaborStatistics.

ANS:

B PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex|BureauofLaborStatistics MSC:

Definitional

15. WhatbasketofgoodsisusedtoconstructtheCPI?

a. arandomsampleofallgoodsandservicesproducedintheeconomy

b. thegoodsandservicesthataretypicallyboughtbyconsumersasdeterminedbygovernmentsurveys

c. onlyfood,clothing,transportation,entertainment,andeducation

d. theleastexpensiveandthemostexpensivegoodsandservicesineachmajorcategoryofconsumerexpenditures

ANS:

B PTS:

1 DIF:

1 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

16. InthecalculationoftheCPI,coffeeisgivengreaterweightthanteaif

a. consumersbuymorecoffeethantea.

b. thepriceofcoffeeishigherthanthepriceoftea.

c. itcostsmoretoproducecoffeethanitcoststoproducetea.

d. coffeeismorereadilyavailablethanisteatothetypicalconsumer.

ANS:

A PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

17. IntheCPI,goodsandservicesareweightedaccordingto

a. howlongamarkethasexistedforeachgoodorservice.

b. theextenttowhicheachgoodorserviceisregardedbythegovernmentasanecessity.

c. howmuchconsumersbuyofeachgoodorservice.

d. thenumberoffirmsthatproduceandselleachgoodorservice.

ANS:

C PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex MSC:

Definitional

18. Thestepsinvolvedincalculatingtheconsumerpriceindex,inorder,areasfollows:

a. Chooseabaseyear,fixthebasket,computetheinflationrate,computethebasket'scost,andcomputetheindex.

b. Chooseabaseyear,findtheprices,fixthebasket,computethebasket'scost,andcomputetheindex.

c. Fixthebasket,findtheprices,computethebasket'scost,chooseabaseyearandcomputetheindex.

d. Fixthebasket,findtheprices,computetheinflationrate,chooseabaseyearandcomputetheindex.

ANS:

C PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex MSC:

Interpretive

Table24-1

Year

Peaches

Pecans

2005

$11perbushel

$6perbushel

2006

$9perbushel

$10perbushel

19. RefertoTable24-1.Supposethetypicalconsumerbasketconsistsof10bushelsofpeachesand15bushelsofpecans.Using2005asthebaseyear,theCPIfor2006is

a. 100.

b. 120.

c. 200.

d. 240.

ANS:

B PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex MSC:

Applicative

20. RefertoTable24-1.Supposethetypicalconsumerbasketconsistsof10bushelsofpeachesand15bushelsofpecans.Using2005asthebaseyear,whatwastheinflationratein2006?

a. 20percent

b. 16.7percent

c. 10percent

d. 8percent

ANS:

A PTS:

1 DIF:

2 REF:

24-1

TOP:

Inflationrate MSC:

Applicative

Table24-2

Year

Priceofpork

Priceofcorn

2005

$20

$12

2006

$25

$18

21. RefertoTable24-2.SupposethebasketofgoodsintheCPIconsistedof3unitsofporkand4unitsofcorn.Whatistheconsumerpriceindexfor2006ifthebaseyearis2005?

a. 73.47

b. 109.22

c. 136.11

d. 150.00

ANS:

C PTS:

1 DIF:

2 REF:

24-1

TOP:

Consumerpriceindex MSC:

Applicative

22. RefertoTable24-2.SupposethebasketofgoodsintheCPIconsistedof3unitsofporkand4unitsofcorn.Whatistheinflationratefor2006ifthebaseyearis2005?

a. 21.33percent

b. 25.00percent

c. 28.89percent

d. 36.11percent

ANS:

D PTS:

1 DIF:

2 REF:

24-1

TOP:

Inflationrate MSC:

Applicative

23. ThemarketbasketusedtocalculatetheCPIinAquiloniais4loavesofbread,6gallonsofmilk,2shirtsand2pants.In2005,breadcost$1.00perloaf,milkcost$1.50pergallon,shirtscost$6.00eachandpantscost$10.00perpair.In2006,breadcost$1.50perloaf,milkcost$2.00pergallon,shirtscost$7.00eachandpantscost$12.00perpair.Using2005asthebaseyear,whatwasAquilonia’sinflationratein2006?

a. 30percent

b. 24.4percent

c. 21.6percent

d. Itisimpossibletodeterminewithoutknowingthebaseyear.

ANS:

B PTS:

1 DIF:

3 REF:

24-1

TOP:

Inflationrate MSC:

Applicative

InthecountryofShem,theCPIiscalculatedusingamarketbasketconsistingof5apples,4loavesofbread,3robesand2gallonsofgasoline.Theper-unitpricesofthesegoodshavebeenasfollows:

Table24-3

Year

Apples

Bread

Robes

Gasoline

2002

$1.00

$2.00

$10.00

$1.00

2003

$1.00

$1.50

$9.00

$1.50

2004

$2.00

$2.00

$11.00

$2.00

2005

$3.00

$3.00

$15.00

$2.50

24. RefertoTable24-3.Using2002asthebaseyear,whatwastheinflationratebetween2002and2003?

a. -8.89percent

b. -7.14percent

c. 3.75percent

d. 11.25percent

ANS:

A PTS:

1 DIF:

3 REF:

24-1

TOP:

Inflationrate MSC:

Applicative

25. RefertoTable24-3.Using2002asthebaseyear,whatwastheinflationratebetween2003and2004?

a. 28.5percent

b. 34.2percent

c. 47percent

d. Itisimpossibletodeterminewithoutknowingthebaseyear.

ANS:

B PTS:

1 DIF:

3 REF:

24-1

TOP:

Inflationrate MSC:

Applicati