CFA Level 1 －模考试题(3)（AM）－Q36-40

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Question 36

Nominal GDP has increased by 3 percent in the last year. The effect of this increase on the demand for money will be a:

A) shift the money demand curve to the left.

B) movement up the money demand curve.

C) shift the money demand curve to the right.

D) movement down the money demand curve.

Question 37

Fiscal policy multipliers suggest that if the government decreases both spending and taxes by the same amount, the overall effect on the economy is most likely:

A) a decrease in aggregate demand because the government purchases multiplier is greater than the tax multiplier.

B) neutral because the deficit is unchanged.

C) uncertain because the sizes of the government purchases multiplier and the tax multiplier are quite volatile.

D) an increase in aggregate demand because the tax multiplier dominates.

Question 38

Under monopolistic competition, a firm is most likely expending the optimal amount of resources on innovation if the:

A) marginal revenue of additional innovation exceeds the marginal cost of innovation.

B) average cost of innovation is equal to the average profit of the current products.

C) marginal cost of innovation equals the marginal revenue of additional innovation.

D) firm’s managers believe the amount is optimal, since no quantitative criterion exists.

Question 39

Assume that for the average consumer, the quantity demanded for gasoline increases from 15 gallons per week to 20 gallons per week response to a price decrease from $2.90 per gallon to $2.46 per gallon. Which of the following is closest to the price elasticity of demand for gasoline?

A) -1.86

B) -1.65.

C) -1.74.

D) -1.53

Question 40

Which of the following statements regarding monopolies is least accurate?

A) Monopolists are price searchers and must experiment with different prices to find the one that maximizes profit.

B) A monopolistic market is characterized by a single producer of a well-defined product that has no good substitutes.

C) If a monopolist produces the quantity of output for which marginal cost equals marginal revenue, it will earn an economic profit.

D) For price discrimination to increase economic profit, the seller must identify at least two groups of customers, each with a different price elasticity of demand.