What is the consumer price index and what happens to your purchasing power as it rises?

What is opportunity cost and what role does it play in economic decision making?

 

What is GDP, how is calculated, and what sort of transactions are not included in GDP?

 

What is the consumer price index and what happens to your purchasing power as it rises?

 

What is a business cycle and how does it represent recessions and economic booms? What is a trough?

 

What is the natural rate of unemployment and what role does structural and frictional unemployment play in calculating the natural rate of unemployment?

 

What did the classical economists believe about how an economy get out of recession? What role do wage rates and interest rates play in a recovery? What do the Keynesians believe about how an economy gets out of a recession?

 

Did classical economists believe the government should engage in deficit spending to get out of a recession?

 

How do investments in human capital, physical capital, and technological development impact the production possibility curve and how does this relate to economic growth?

 

What is the money multiplier and how does it work?

 

What is the difference between fiscal policy and monetary policy?

 

What is the keynesian multiplier and how does it work? What is the marginal propensity to expend and what is the marginal propensity to save?

 

What are the issues that make it difficult to use fiscal policy to bring the economy into equilibrium?

 

How did the Great Depression impact the status of Classical economic theory?

 

What is stagflation and how did it challenge Keynesian theories about demand side management?

 

What is supply side economics?

 

What is the crowding out effect?

 

What is the new classical school’s argument about government spending?

 

Who finances the government’s debt?

 

Who manages the money supply?

 

What are the tools the Federal Reserve Banking System uses to manage the money supply?

 

What did the Monetarists argue is the proper approach to monetary policy?

 

How does the growth of the Money Supply cause inflation?

 

Who is hurt by inflation and who is helped by inflation?

 

How does aggregate demand shift if you cut taxes?

 

How does aggregate demand shift if you raise taxes?

 

How does increased government spending impact the aggregate demand curve?

 

How does a government cut in spending impact the aggregate demand curve?

 

How does the Federal Reserve Bank’s purchase of treasury bonds impact the aggregate demand curve?

 

How does the Federal Reserve Bank’s sale of treasury bonds impact the aggregate demand curve?

 

How did the implementation of automatic stabilizers impact the economy?

 

What can happen to the economy if the government’s debt becomes too large?

 

What do empirical studies show about the relation between the growth of the money supply and levels of inflation?

 

What is the relationship between inflation and interest rates?

 

What happens to an economy if people anticipate the inflationary effects of an expansionary monetary policy?

 

What limits the Federal Reserve Bank’s ability to create money?

 

What is the primary motivation of bankers?

 

What happens to exports if your currency becomes stronger versus another country’s currency?

 

What role does money play in an economy?

 

What does the Conference Board do?

 

What are the basic guidelines for the economic way of thinking?

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