Drawing and Interpreting Economics Diagrams (HSC SSCE Economics): Quizzes
📚Quizzes
Practise the questions
10 questions from this quiz
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Practise the questions
10 questions from this quiz
When tariffs are removed, what happens to domestic prices and imports?
When tariffs are removed, what happens to domestic prices and imports?
Prices fall to ; imports increase
How do production subsidies affect the supply curve and equilibrium price?
How do production subsidies affect the supply curve and equilibrium price?
Shift supply right; price falls
What creates the self-reinforcing debt-trap cycle?
What creates the self-reinforcing debt-trap cycle?
Income outflows worsen CAD, needing more loans
What causes demand for Australian dollars to increase, appreciating the currency?
What causes demand for Australian dollars to increase, appreciating the currency?
Higher Australian interest rates
When a fixed exchange rate exceeds market rate, what must the central bank do?
When a fixed exchange rate exceeds market rate, what must the central bank do?
Purchase surplus currency using reserves
What does greater distance from the 45° line on a Lorenz curve indicate?
What does greater distance from the 45° line on a Lorenz curve indicate?
Greater income inequality
What range does the Gini coefficient cover, and what does a lower value mean?
What range does the Gini coefficient cover, and what does a lower value mean?
0 to 1; lower means more equal distribution
Why does the market overproduce when negative externalities exist?
Why does the market overproduce when negative externalities exist?
Producers ignore external costs they impose
What relationship does the Phillips curve show in the short run?
What relationship does the Phillips curve show in the short run?
Inverse: lower unemployment, higher inflation
What happens when expansionary policy shifts AD rightward in the AS-AD model?
What happens when expansionary policy shifts AD rightward in the AS-AD model?
Output rises to ; prices rise to