<p>Weekly Review Quiz as of 2010-09-02 Economics: Macro </p><p>Tax Cuts Weighed to Spur Economy by Deborah Solomon and Jonathan Weisman 09/01/2010 http://online.wsj.com/article/SB10001424052748704421104575464012356644550.html </p><p>1. What stimulus measures are currently being considered by the White House to keep the United States from sliding into another recession? a) Additional tax cuts for small businesses b) A payroll tax cut for businesses and individuals c) A drop in interest rates d) All of the above * e) a) and b) only</p><p>Japan's Move To Curb Yen Falls Short by Karen Johnson 08/31/2010 http://online.wsj.com/article/SB20001424052748703369704575460861918648640.html </p><p>2. Why is the Bank of Japan trying to keep the Yen from appreciating versus other foreign currencies? a) An appreciating Yen keeps interest rates in Japan high * b) A strong Yen means that Japanese exports will be expensive to other countries, hurting its net exports and economic growth c) Currency traders will start betting that the Yen will fall in value, hurting the ability of the Bank of Japan to conduct regular monetary policy d) An appreciating Yen will raise inflation rates in Japan. e) None of the above</p><p>States See Pickup in Tax Revenue by Conor Dougherty 08/30/2010 http://online.wsj.com/article/SB10001424052748704342504575459641867886662.html </p><p>3. State tax revenues increased in the second quarter, largely due to ______and ______. a) increases in income taxes; increases in state economic growth b) increases in corporate taxes; increases in state economic growth * c) increases in sales taxes; increases in income taxes d) increases in estate taxes; increases in corporate taxes e) None of the above: state tax revenues actually fell in the second quarter for most states Germany Suffers a Labor Shortage by Vanessa Fuhrmans 08/27/2010 http://online.wsj.com/article/SB10001424052748704913704575453652182261156.html </p><p>4. As Germany's economy strengthens, one downside is ______, which could lead to ______and ______. a) a shortage of skilled workers; higher inflation; more foreign workers needed b) a shortage of skilled workers; higher interest rates; higher inflation c) a strengthening Euro; lower net exports; higher inflation d) a strengthening Euro; higher interest rates; lower economic growth * e) a shortage of skilled workers; production shortages; more foreign workers needed</p><p>Jobless Claims Decline by Sarah N. Lynch and Darrell A. Hughes 08/27/2010 http://online.wsj.com/article/SB10001424052748703959704575453262066267690.html </p><p>5. Initial unemployment claims fell 31,000 to 473,000 for the week ending Saturday, August 21. Why then are many policymakers and economists worried? a) The unemployment rate is still at 9.5% b) Average unemployment claims over the past month have been at their highest levels since November 2009 c) Though labor demand does not appear to be worsening, the labor market is still shown by this number to be weak d) The number of continuing unemployment claims is still 4.46 million (side note: think about this number for a moment). * e) All of the above</p>