{"id":47225,"date":"2021-04-09T16:00:49","date_gmt":"2021-04-09T06:00:49","guid":{"rendered":"https:\/\/billmitchell.org\/blog\/?p=47225"},"modified":"2021-04-09T16:00:49","modified_gmt":"2021-04-09T06:00:49","slug":"the-weekend-quiz-april-10-11-2021","status":"publish","type":"post","link":"https:\/\/billmitchell.org\/blog\/?p=47225","title":{"rendered":"The Weekend Quiz &#8211; April 10-11, 2021"},"content":{"rendered":"<p>\t\t\t\tWelcome to <strong>The Weekend Quiz<\/strong>. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.<br \/>\n<!--more--><\/p>\n<p><a href=\"https:\/\/billmitchell.org\/blog\/wp-content\/uploads\/2020\/05\/Quiz_Image.png\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/billmitchell.org\/blog\/wp-content\/uploads\/2020\/05\/Quiz_Image.png\" alt=\"\" width=\"296\" height=\"180\" class=\"alignnone size-full wp-image-44957\" \/><\/a><\/p>\n<p>These were the Quiz questions for the second week of my edx MOOC &#8211; <strong>Modern Monetary Theory: Economics for the 21st Century<\/strong>.<\/p>\n<p>I promised students that I would provide answers and analysis for them after the course finished. So over the course of April 2021 we will be answering the questions posed each week of the MOOC.<\/p>\n<h4>Quiz #630<\/h4><ul>\n<li>1. The reason that MMT economists favour flexible exchange rates  over the Bretton Woods system of fixed exchange rates is because:<\/li><ul><li>(a) Fiscal and monetary policy tools can target domestic policy outcomes and not be compromised by having to defend a particular exchange rate as was the case under Bretton Woods system.<\/li><li>(b) Taxes are not required to fund government spending.<\/li><li>(c) Government debt is able to be paid back more easily.<\/li><li>(d) Currency speculation is reduced.<\/li><\/ul>\n<li>2. The lesson that the Pompeii story taught us was that:<\/li><ul><li>(a) The old coins used in Pompeii were able to buy goods and services.<\/li><li>(b) The government had to spend first before it could collect taxes.<\/li><li>(c) The once thriving city was destroyed by a volcanic eruption.<\/li><li>(d) Some people worked in the non-government sector.<\/li><\/ul>\n<li>3. If the expenditure multiplier is estimated to be 1.5, then if the government expands its spending by $100 billion, we expect GDP to rise by<\/li><ul><li>(a) $1500 billion.<\/li><li>(b) $1.5 billion.<\/li><li>(c) $150 billion.<\/li><li>(d) $100 billion less 1.5 times $100 billion.<\/li><\/ul>\n<li>4. The expenditure multiplier will be largest in which case:<\/li><ul><li>(a) Households consume 70 cents of every extra dollar in disposable income received.<\/li><li>(b) Households consume 80 cents of every extra dollar in disposable income received.<\/li><li>(c) Households save 20 cents of every extra dollar in disposable income received.<\/li><li>(d) Households save 10 cents of every extra dollar in disposable income received.<\/li><\/ul>\n<li>5. If you observed the following conditions, which would be consistent with a stable GDP level?<\/li><ul><li>(a) The government deficit is $10 (spending greater than tax revenue), household saving is $20, Import expenditure is $20, total investment expenditure is $20 and export sales equal $10. The unemployment rate is 10 per cent.<\/li><li>(b) The government deficit is $15 (spending greater than tax revenue), household saving is $20, Import expenditure is $20, total investment expenditure is $15 and export sales equal $15. The unemployment rate is 5 per cent.<\/li><li>(c) The government deficit is $10 (spending greater than tax revenue), household saving is $15, Import expenditure is $20, total investment expenditure is $10 and export sales equal $10. The unemployment rate is 12 per cent.<\/li><li>(d) The government deficit is $10 (spending greater than tax revenue), household saving is $20, Import expenditure is $20, total investment expenditure is $20 and export sales equal $15. The unemployment rate is 10 per cent.<\/li><\/ul>\n<\/ul>\n\n\t<h3>Sorry, quiz 630 is now closed.<\/h3>\n\t<p> You can find the answers and discussion <a href=\"\/blog\/?p=50669\">here<\/a><\/p>\n\t\n","protected":false},"excerpt":{"rendered":"<p>Welcome to The Weekend Quiz. The quiz tests whether you have been paying attention or not to the blog posts that I post. See how you go with the following questions. Your results are only known to you and no records are retained.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[58],"tags":[],"class_list":["post-47225","post","type-post","status-publish","format-standard","hentry","category-saturday-quiz","entry","no-media"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=\/wp\/v2\/posts\/47225","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=47225"}],"version-history":[{"count":0,"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=\/wp\/v2\/posts\/47225\/revisions"}],"wp:attachment":[{"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=47225"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=47225"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/billmitchell.org\/blog\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=47225"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}