1.Which one of the following is used to measure inequality in thedistribution of income?
A. The size of the employed labour force.
B. The value of the Gini coefficient.
C. The size of the income multiplier.
D. The marginal rate ofincome tax.
2.The rate of economic growth in China has led tomore factories and infrastructure being built on land that could have been usedfor houses.
The demand for land in China can best bedescribed as:
3.Whichgovernment policy would boost economic growth but not necessarily promoteeconomic development?
A. creating a more equal distribution ofincome and wealth
B. diverting government spending fromindustry to education
C. encouraging the extraction of finitenatural resources
D. introducing tighter controls on airpollution
4.The four diagrams below show aggregate demand (AD)and long-run and short-run aggregate supply (LRAS/SRAS) curves for an economywhere OP1 is the initial equilibrium price and OY1 the initial equilibriumlevel of real national output. Which diagram, A, B, C or D, shows the changeresulting from an increase in innovation and productivity improvements?
5.Whichone of the following is not the macroeconomic indicator.
A. Balance of payments on current account
B. Control the money supply
C. Measures of unemployment
D. Consumer Prices Indexand Retail Prices Index (CPI/RPI)