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1. taxes are collected by the Revenue authority from a business, which attempts to pass on the tax to consumers in the price of goods.

Which word correctly completes this statement?

A Progressive

B Direct

C Indirect

答案：C

2. If a government has a macro-economic policy objective of expanding the overall level of economic activity, which of the following measures would not be consistent with such an objective?

A Increasing public expenditure

B Lowering interest rates

C Increasing taxation

答案：C

3.The currency in country X is the Krone while country Y uses the Euro. Country Y has recently experienced an increase in its exchange rate with Country X. Which of the following effects is likely to result in Country Y?

A A stimulus to exports in Country Y

B An increase in the costs of imports from Country X

C Reducing demand for imports from Country X

D A reduction in the rate of cost push inflation

答案：D

4.The following, with one exception, are \'protectionist measures\' in international trade. Which is the exception?

A Import quotas

B Subsidies for exporters

C Customs procedures

D Tariffs

答案：B

5.Are the following statements true or false?

1 Frictional unemployment will be short term

2 Governments can encourage labour mobility if they want to reduce unemployment

A Both statements are true.

B Statement 1 is true and statement 2 is false.

C Statement 1 is false and statement 2 is true.

D Both statements are false.

答案：A

6.Monetary policy is a government economic policy relating to:

1 Interest rates

2 Taxation

3 Public borrowing and spending

4 Exchange rates

Which of the above are correct?

A 1 and 4

B 2 and 3

C 2 and 4

D 3 and 4

答案：A

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