ECON 4000   Oct. 14, 1993

1.  The capital of Nevada is ________________________.
2.  GDP stands for _________________________________.
3.  The major of Turlock (Modesto and/or Stockton) is __________________.

 Answer

 1.  What impact would a change (       ) of each of the following have on the production function and the marginal product of labor: quality of natural resources, quality of capital, new technology, population quantity of capital and level of education of the labor force.

 2.    What is the classical model?  How are the assumptions key to this model?  Illustrate your answer graphically.

 3.    What are the Keynesian motives for holding money?  How does this become important to the operation of a Keynesian model?

 4.    Derive either an IS or an LM curve.  What does this curve show and how can it be used?

 5.    What are the strengths and weaknesses of the national income accounts and the price indices used to measure economic activity.

 6.    What is meant by the Keynesian-Classical aggregate demand schedule and aggregate supply schedule?  What does this model show and how can  it be used?