98年元智大學國際企業所經濟學線上測驗

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The price elasticity of adults’ demand for Movie is 0.75. If the movie theaters in the
industry would like to stimulate the overall movie watching by 15 percent, they should
collectively cut their price from NT$300 to NT$ (2%) ? If all the movie theaters

do the same percentage cutting on student’s ticket price the overall movie sales to
students will increase (2%) (more than/less than/equal to)

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6.: The table gives the total utility Jamal derives from the consumption of apples and
cakes. Jamal has $12 to spend on these two confectionery goods. The price of an apple
is $3 and the price of a cake is $1.50.
(1) Suppose Jamal’s budget is $12. In order for Jamal to maximize his utility, he will
buy (2%) of apples.
(2) suppose the price of an apple increases to $6. Jamal’s income does not change and
neither does the price of a cake. What combination Jamal will buy (2%) of
apples and cakes now?
(3) Jamal’s demand curve for apples is (3%) .

7.: Which of the following violate the argument of traditional Keynesian school?
(A): regular unemployment;
(B): wage rigidity;
(C): price rigidity;
(D): Supply creates its own demand.

8.
(A): passbook deposit;
(B): checking account;
(C): foreign currency deposit;
(D): currency held by the public.

9.: According to the argument of inventory money demand theory presented by Baumol
and Tobin. People hold money on hand owing to the ________
(A): transaction motive;
(B): speculation motive;
(C): precautionary motive;
(D): saving motive.

10.: Assumed New Taiwan Dollar (NTD) is expected to have a dramatic “devaluation” and
hence resulting the evasion of international “hot money”. Therefore, in Taiwan’s
foreign exchange rate market, ________
(A): supply curve will shift to the right;
(B): supply curve will shift to the left;
(C): demand curve will shift to the right;
(D): demand curve will shift to the left;
(E): both supply and demand curve remain steadfast.

11.: Referring to the question 4. mentioned above, assured Central Bank intends to prevent
NTD’s unwilling devaluation by direct intervention measures in the foreign exchange
market. Consequently, in Taiwan’s foreign exchange rate market, ________
(A): supply curve will shift to the right;
(B): supply curve will shift to the left
(C): demand curve will shift to the right;
(D): demand curve will shift to the left;
(E): both supply and demand curve remain steadfast.

12.: According to the argument of Keynesian school, the concept so-called “liquidity trap”
means ________
(A): IS curve is horizontal;
(B): IS curve is vertical;
(C): LM curve is horizontal;
(D): LM curve is vertical.

13.: By definition, the well-known “Marshall-Lerner condition” depict the trade elasticity
criteria of getting
(A): improvement for expert through devaluation;
(B): improvement for trade balance through devaluation;
(C): improvement for domestic GDP through devaluation;
(D): J-curve phenomenon through devaluation.

14.: Which of the following is correct statement for definition of “labor force” or “rate of
unemployment”?
(A): Labor force participation rate measures the ratio of labor force among whole
population;
(B): Natural rate of unemployment should be zero when natural real GDP equals actual
real GDP.
(C): Rate of unemployment will not be raised if more undergraduates are encouraged to
get further education in graduate school;
(D): Structural unemployment always decrease when business cycle lies in the period of
expansion.

15.: As we know, Council for Economic Planning and Development （經建會）regularly
announces the light signals based on monitoring indicator for Taiwan’s economy.
Which of the following light signal color denotes a “slowdown” or “depression” in
Taiwan’s economy?
(A): blue;
(B): red;
(C): yellow-red;
(D): green.

16.: Canada exports wheat to Japan in exchange for electronic products. In Japan, this will
lead ________
(A): a current account deficit;
(B): a current account surplus;
(C): no change in the current account;
(D): a capital account surplus.

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