Here are the answers with discussion for this Weekend’s Quiz. The information provided should help you work out why you missed a question or three! If you haven’t already done the Quiz from yesterday then have a go at it before you read the answers. I hope this helps you develop an understanding of Modern…
The Weekend Quiz – December 24-25, 2016
Welcome to The Weekend Quiz, which used to be known as the Saturday Quiz! The quiz tests whether you have been paying attention or not to the blogs I post. See how you go with the following questions. Your results are only known to you and no records are retained.
Quiz #405
- 1. A national, currency-issuing government that runs a balanced fiscal outcome (spending equals revenue) over the economic cycle (peak to peak) also has to accept that, after all the spending adjustments are exhausted, their strategy will ensure that households and firms overall spend more than they earn - that is, run down previous savings or accumulate more net debt.
- False
- True
- 2. A basic understanding of Modern Monetary Theory (MMT) would argue that mass unemployment is due to a deficiency in aggregate spending which would then lead one to reject the conclusion that excessive real wage demands by workers can cause such unemployment.
- False
- True
- 3. Modern Monetary Theory (MMT) teaches us that a sovereign government does not have to issue debt to finance its spending. But the more public debt it voluntarily issues:
- The less is the volume of investment funds available to the non-government sector.
- The greater is non-government wealth held in the form of public debt.
- The more difficult it is for banks to attract deposits to initiate loans from.
- All of the above.
- 4. Which picture best describes Santa heading out on Xmas Day to hand out presents?
Option A:
Option B:
- A. Cold Santa
- B. Hot Santa
Sorry, quiz 405 is now closed.
You can find the answers and discussion here
Well I didn’t realize MMT had a view about Santa. I guess I will have to wait for the answers to see why I got that one wrong. Don’t know what Neil Wilson gonna say about your answer given that he despises those surfers. I wish you a happy Christmas professor.
Hot Santa as the poles are a melting. …
I also got Santa wrong, thinking he lived at the North Pole and would leave there first thing on Dec25th. But I conceed the first children to get presents live in the South Pacific. Santa might have to leave his North Pole base ahead of time so as to be at the Eastern most part of the international date line (ie the South Pacific) for the start of Dec 25th, then scoot up and down each time zone as the Earth turns 🙂
was thinking it’s because he has to move fast
I went with hot Santa because Bill lives in the southern hemisphere, where it’s currently the dead of summer.
I figured Santa in Australia was more likely to travel by surfboard than sleigh…
You have been very naughty this year, Bill, spoiling the status quo, rocking the boat, causing Brexit etc.
Fortunately Santa has a PhD in Macroeconomics, and has moved to the South Pole – less frozen sea and more land apparently.
Merry Xmas
Sensitive to the experience of my Southern Hemisphere friends, i scored a decent 4 out of 4.
Of course Santa could just sled in Antarctica. Getting his feet wet, as we speak.
Interesting that my previous comment has been removed. I’m sure I didn’t do anything wrong. I even wished everyone Merry Christmas. Inscrutable rules?
Dear totaram (2016/12/24 at 9:06 pm)
I checked and no comment that you previously posted has been removed nor gone to spam (via the automatic filter). The problem is at your end. Sorry.
best wishes
bill
I think I have it figured out. I commented on the “results” page of the quiz, and since nothing on that page is saved, it went away. No worries. Merry Christmas everyone anyway!