RE 165 Real Estate Economics Due 5/10/2012

Quiz for Chapter 6: Regional and Community Analysis

1. A city that originally formed at a

‘‘break-cargo’’ point is called a(n):

A. central town

B. transportation service town

C. special-function town

D. economic town

2. Growth of a region is most closely tied to what kind of jobs?

A. local

B. secondary

C. basic

D. internal

3. In terms of economic base studies, a computer software company would be considered what kind of business?

A. export

B. import

C. secondary

D. local

4. In terms of economic base studies, a residential real estate brokerage business is what kind of business?

A. export

B. basic

C. manufacturing

D. secondary or local

5. If a region’s population expands rapidly, while jobs and government spending decline, the per capita standard of living, as measured by goods and services, will probably:

A. decrease

B. increase

C. remain the same

D. escalate

6. If the multiplier effect for a local economy is that 1 export job creates 1.5 secondary jobs, an increase of

100 basic export jobs should create a total of how many new jobs in the area?

A. 67

B. 100

C. 150

D. 250

7. When selecting a new location for a factory, a company will usually check which of the following items?

A. environmental requirements

B. community attitudes

C. transportation systems

D. all of the above

8. The underlying principle of economic base studies states that for a region to grow economically, it must:

A. export more than it imports

B. import more than it exports

C. increase secondary business faster than basic business

D. decrease basic industries

9. For some people, the disadvantages of economic growth include:

A. more people

B. traffic congestion

C. additional pollution

D. all of the above

10. The advantages of economic growth include more:

A. goods and services

B. jobs

C. financial security

D. all of the above

11. To stimulate economic growth, an increase in local jobs must occur before there can be an increase in export jobs.

A. true

B. false

12. A group of cities or communities in a larger or surrounding area is usually called a:

A. town

B. region

C. locality

D. township

13. It is believed that the world’s first towns and villages were located in:

A. Europe

B. Latin America

C. the Middle East

D. New Zealand

14. A ‘‘central town’’:

A. is located midway between two large cities

B. performs a variety of services for a surrounding area

C. contains the central government offices for the region

D. is usually located at a river fork, mountain pass, or ocean port

15. A community location selected to be convenient to a resource is described as a:

A. special-function town

B. resort town

C. node

D. break-cargo location

16. Original locations of cities tend to be influenced by:

A. topography

B. transportation

C. both a and b

D. neither a nor b

17. Two measures of community economic growth are:

A. expansion and integration

B. per capita and overall growth

C. annexation and divestment

D. local jobs and the multiplier

18. Greater productivity influences community growth by:

A. allowing the same number of workers to produce more export goods

B. reducing the number of jobs

C. creating more instability through changes

D. interrupting government efforts to limit growth

19. When a community learns to make objects that previously had to be imported:

A. the loss of imports hurts the local economy

B. additional earnings are generated to pay for imported goods and services

C. added jobs are tied up in local employment, hurting growth

D. there is no net effect on the local economy

20. In an economic base study, a population forecast for a region is estimated by using a ratio of workers (or jobs) to people. This is called:

A. job multiplier

B. labor participation rate

C. demography

D. topography

21. A city can grow in population, even if its export jobs are in industries that are not growing nationwide.

A. true

B. false

22. Moderate increases in productivity are considered socially desirable by many people, if the increase in productivity:

A. lowers per capita living standards

B. improves per-person welfare

C. fulfills government objectives for slow growth

D. eliminates private jobs

23. If a community’s export jobs are mostly in one industry:

A. such concentration is considered desirable

B. diversification should be a key community goal

C. real estate investment potential is enhanced

D. the town’s future is guaranteed

24. A shift of jobs in an industry from one city to another can cause some cities to grow, even when the industry’s overall growth is in decline.

A. true

B. false

25. Input–output analysis examines:

A. whether production efficiency can be improved

B. which jobs should be reclassified from basic to export

C. what resources go into community economic activity, what goods and services are produced, and where they are distributed

D. how long it takes on average to convert inputs to outputs