Economics and the Impact of the Pandemic

What was the main reason the narrator used the term 'Cyrus' instead of the actual virus name?

• To make the video more engaging

• To simplify the concept for viewers

• To comply with CDC guidelines

• To avoid demonetization on YouTube

What is the primary economic concept introduced in the context of healthcare during the pandemic?

• Scarcity

• Inflation

• Opportunity cost

• Supply and demand

Why were there shortages of items like toilet paper during the pandemic?

• Increased production rates

• Panic buying and increased demand

• Government restrictions on sales

• Decrease in consumer demand

How does a decrease in demand for services like airlines and restaurants affect the economy?

• It increases the supply of goods

• It leads to higher employment rates

• It causes a decrease in demand for resources

• It stabilizes the market prices

What is the multiplier effect in the context of a recession?

• An increase in consumer spending

• A chain reaction of reduced spending

• A rise in government taxes

• An increase in production rates

What defines a recession in economic terms?

• A year of stagnant GDP

• One quarter of negative GDP growth

• A decrease in employment rates

• Two consecutive quarters of negative GDP growth

What is the primary goal of monetary policy during a recession?

• To increase taxes

• To decrease the money supply

• To increase the money supply and decrease interest rates

• To reduce government spending

Which action is NOT part of the Federal Reserve's monetary policy?

• Quantitative easing

• Lowering the discount rate

• Increasing the reserve requirement

• Buying bonds

What is the main focus of fiscal policy during a recession?

• Cutting taxes and increasing government spending

• Raising interest rates

• Reducing consumer spending

• Increasing government purchases

What should individuals do with the stimulus checks according to the video?

• Spend it to boost the economy

• Save the money for future needs

• Donate to charity

• Invest in stocks