A) the associated statement is normative.
B) many variables affect the variable under consideration.
C) the assumption that factors other than those being considered do not change.
D) when variable X increases so does related variable Y.
40) The basic purpose of the "other things equal" assumption is to:
A) allow one to reason about the relationship between variables X and Y without the intrusion of variable Z.
B) allow one to focus upon micro variables by ignoring macro variables.
C) allow one to focus upon macro variables by ignoring micro variables.
D) determine whether X causes Y or vice versa.
41) Microeconomics is concerned with:
A) the aggregate or total levels of income, employment, and output.
B) a detailed examination of specific economic units which comprise the economic system.
C) the concealing of detailed information about specific segments of the economy.
D) the establishing of an overall view of the operation of the economic system.
42) Microeconomics:
A) is concerned with the aggregate or total levels of income, employment, and output.
B) is not concerned with details, but only with the overall "big picture" of the economy.
C) is concerned with individual economic units and specific markets.
D) describes the aggregate flows of output and income.
43) Which of the following is a microeconomic statement?
A) The real domestic output increased by 2.5 percent last year.
B) Unemployment was 8.3 percent of the labour force last year.
C) The price of personal computers declined last year.
D) The general price level increased by 4 percent last year.
44) Macroeconomics approaches the study of economics from the viewpoint of:
A) the entire economy.
B) governmental units.
C) the operation of specific product and resource markets.
D) individual firms.
45) Which of the following is associated with macroeconomics?
A) an examination of the incomes of the University of Toronto Business School graduates
B) an empirical investigation of the general price level and unemployment rates in the 2000s
C) a study of the trend of pecan prices since World War II
D) a case study of pricing and production in the textbook industry
46) The problems of aggregate inflation and unemployment are:
A) major topics of macroeconomics.
B) not relevant to the Canadian economy.