aswer the following questions. What is the difference between Gross Domestic Product and Gross National Income? Evaluate the statement: "Inflation reduces the purchasing power of the peso."
Q: et deposited $12,000 in her savings account on June 15, 2018. The savings account earns her 2.50%. W...
A: here we calculate the balance of savings account by the following method as follow;
Q: 5. demand *Refer to the above figure. What happens to total revenue if price rises along part A of t...
A: Introduction: The demand curve is a graphical representation of the relationship between a good's or...
Q: Suppose consumption function is specified as C $200 + 0.75Y planned investment is $600, net taxes ar...
A: Here we calculate the following terms by using the given information, so the calculation of the foll...
Q: The New York Times (Nov. 30, 1993) reported that "the inability of OPEC to agree last week to cut pr...
A: OPEC or Organisation of the Petroleum Exporting Countries is a cartel of Oil-producing nations which...
Q: Analyze how and to what extent the American Revolution demonstrated total societal change across pol...
A: American revolution: The settlement of Europe started in the American economy during 1500-1600, war...
Q: There are currently 60 perfectly competitive firms producing output q. The cost function of each fir...
A: (9) P = MC is a supply curve for an individual perfectly competitive firm in the short run. C=10 + ...
Q: Hugo decides to buy his Christmas gifts on Black Friday. To simplify his life, he is giving his 10 c...
A: For the 10th scarf, Hugo was willing to pay $20 but had to pay only $12. So his consumer surplus was...
Q: Q=15-5p what is p and q intercept
A: the intercept is mainly used to measure the slope of the line. When Q = 00 = 15 - 5pp = 15/ 5p = 3...
Q: Enumerate five i) objectives of the Millennium Development Goals. 1. 2. 3. 4. 5. Enumerate fise (5) ...
A: This chapter is related to economic development. Economic development is defined as a sustained impr...
Q: Consider the following data about U.S. real GDP for the George W. H. Bush (1989-1993) and Bill Clint...
A: Real GDP is a macroeconomic measure of the value of economic output that has been adjusted for price...
Q: You are planning a move across town. Doing your research you find that the average rate of a moving ...
A: 1) Hours Marginal Benefits Marginal Cost Consumer Surplus 1 hour $850 $250 600 2 hour $620 ...
Q: Your company makes a product, Widgex, that has no direct substitutes, currently popular, and very pr...
A: The price of the products can be set according to the level of price elasticity of demand, that is i...
Q: Create five questions covering the below question topic along with ideal answers that you would expe...
A: I assume a hypothetical situation which are demand function and and cost functions of monopoly firms...
Q: Assume that Alex uses capital and labour to produce a good. The unit price of capital is $2 and the ...
A: Here we calculate the amount of additional labor if Alex want to incur the same cost by using the g...
Q: Problem 1A| According to the new classical investment model we have: MPK =(r + 8) (1) i. Derive the ...
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new ques...
Q: E.Z. Money, who owns a chain of nightclubs, needs to borrow $20,000 to remodel the local dive. Ima S...
A: Given, Amount borrowed = $ 20,000 Term of loan = 24 months Monthly payment = $ 1,118 Assume the mont...
Q: Unit 2 Test Review 1. Who proposed managed capitalism? 2. What does laissez faire mean? 3. The US ha...
A: "Since you have asked a question with multiple sub-parts, we will solve first three sub-parts for yo...
Q: Ben's cost of making an additional rocking chair is $75. O A) The marginal benefit to the consumer f...
A: Total cost is the sum of fixed cost and variable cost. Fixed cost does not depend on output. It rema...
Q: Below is the the market demand curve for reusable water bottles when only the marginal private benef...
A:
Q: A Consumier s utility is given With marginal utiities being M 0X Prices are Px = 4 and Py = 8. Consu...
A: The utility function is quasi-linear. Given the prices we solve the following, MUXMUY=12X=PXPY=48⇒14...
Q: yment, $2,000 interest from bank accounts, and S25,000 profits and dividends. Of this income, she ha...
A: Gross domestic product means "GDP" and addresses the complete money related worth of every single la...
Q: why might we perceive central banks in the gold standard era as pursuing passive monetary policy ?
A: Central Bank is the only authority to implement monetary policies in an economy to influence the agg...
Q: a. Show the national income identity equation for a closed economy. b. Use the expression in a to sh...
A: Answer: (a). Closed economy: A economy that is not open to trade is called a closed economy. The nat...
Q: Billions of Item Dollars Checkable Deposits Seall Time Deposits Currency Honey-Market Mutual Funds H...
A: Here we calculate the Size of Money Supply M2 by using the given information , so the calculation of...
Q: se the Keynesian Cross model to show the effect of a decrease in government spending of ∆� on the ec...
A: A contract is a legally binding agreement that establishes, defines, and governs the parties' mutual...
Q: 8. Shifts in supply or demand I The following graph shows the market for peanut butter in Philadelph...
A: Answer: There is a positive relationship between the price of a good and the demand for its substitu...
Q: This chapter discusses companies that are oligopolists in the market for the goods they sell. Many o...
A: The market structure when there are a small number of firms who tend to be interdependent in pricing...
Q: What does Adam Smith's writing teach regarding why Payless Shoes went out of business?
A: Adam Smith was a famous philosopher as well as an economist who is known as the father of modern eco...
Q: In the following table, select the amount of each good that each country exports and Imports In the ...
A: Given:- Without trade Production and consumption of jeans 12 for Dolorium and for Rye 16 Without tra...
Q: 'Your company is comparing three projects that have risks associated with them. Based on the data in...
A: EUAW stands for Equivalent Uniform Annual worth, Annual Worth (AW) Analysis is defined as the equiva...
Q: 5. Real versus nominal GDP Consider a simple economy that produces two goods: cupcakes and envelopes...
A: Nominal GDP vs Real GDP Considering that GDP is one of the most important metrics for assessing an...
Q: What lump-sum amount of interest will be paid on a $20,000 loan that was made on May 1, 2020, and r...
A: Given: The principal amount is = $20,000 The ordinary simple interest rate is = 10% per year To Find...
Q: $50,000 on food and other consumption goods, $20,000 on vacations abroad, saved $10,000 in her retir...
A: In economic aspects, (GDP) is how much a spot produces in a measure of time. Gross domestic product ...
Q: Consider the game below: Player C Strategy Strategy C2 Strategy RI Strategy R2 Player R 50, 50 800, ...
A: A sequential game is one in which one player picks his or her move before the others. So that the di...
Q: Alfred is a Partner. His dependent daughter wants to try making investments using an app on her mobi...
A: Investment means formation of capital during and year a good investment fetch better return in the ...
Q: Janet deposited $12,000 in her savings account on June 15, 2018. The savings account earns her 2.50%...
A: Given information, Present value (P): $12,000 Interest rate (r): 2.50% Time period (t): 0.37 (134/3...
Q: What are the main methods of environmental valuation that can be applied and assess their effectiven...
A: Principle techniques for Environmental valuation are: 1) Communicated inclination strategies- Unfore...
Q: utility functions U(c1, c2) = c1C2, where c1 is consumption this year and c2 is consumption next yea...
A: In economics, utility function is an important concept that measures preferences over a set of goods...
Q: Suppose a company offers a standard insurance contract with a premium (r) of $2,000 and a payout (q)...
A: Given that: Premium (r) = $2000Payout (q)= $10000Healthy state Income Ih = $70000Sick state Income I...
Q: if perfectly competitive labour markets should naturally adjust with changes in capital investments?
A: Keynesian school of economics is the study of macroeconomics that prominently relies on output, empl...
Q: The following graph shows the market for cakes in San Francisco, where there are over 1,000 bakeries...
A: Supply curve shows quantity supplied by producers at various prices. It slopes upward. When number o...
Q: Effect of a tax on buyers and sellers The following graph shows the daily market for shoes. Suppose ...
A: Below is the simple code of question 29. (a) LDS R0, $15 ; Retrieve the value from location 0x15 i...
Q: 1. If NX=0, then savings must be equal to invesment Select one: True False
A: (Since you have asked many questions, we will solve the first one for you. If you want any specific ...
Q: Consider the following statements about the Stackelberg game from the slides, assuming both firms ar...
A: Cournot Model Outcomes - Output of each firm = qc Strategy (s1 , s2 ) => If , q1 = qc , then...
Q: What is the relevance of productive and allocative efficiency to the economic growth process?
A: The process by which a country's wealth increases over time is known as economic growth. Although th...
Q: please answer (i)(ii)
A: Before the Great Depression, the Classical Model was popular. It claims that the economy is very fre...
Q: A company wants to automize its production line. Two main technology shortlisted after several studi...
A: Here we calculate the Present worth of Technology A by using the given information , so the calculat...
Q: Figure 6-2 8 Supply 7 6 4 Price Ceiling 3 Demand 1 30 60 90 120 150 180 210 240 QUANTITY Refer to Fi...
A: Price ceiling is the situation when government or market regulating authority sets the maximum level...
Q: Suppose the government is trying to determine how to deal with pesticide contamination of its water ...
A:
Q: Mary is a gardener. The graph shows Mary's preferences for roses and silver bells (two types of flow...
A: Answer: If the price of silver bells (shown on the x-axis) increases to $60 then the budget line wil...
Step by step
Solved in 2 steps
- Question a.Calculate GDP Deflator for all three years. b.Calculate Inflation rate in year 2 and year 3. c.Now calculate Inflation rate in year 3 compared to year 2.1. The following prices and quantities produced were recorded in computer land during the years shown and Calculate the following and show your work. a) Using the GDP deflator what was the average annual rate of inflation during 1993 and 1994?The nominal GDP for 2021 is $125 billion, and the real GDP for 2021 is $100 billion. (1). Calculate the GDP Deflator in 2021? Show your calculation. (2). Also assume that the GDP deflator in 2020 was 100. What is the inflation rate over the 1-year period? Show yourcalculation.
- A country produces only sugar and wheat in the quantities and prices listed below. The GDP deflator is given by Nominal GDP/Real GDP *100. If 2018 is the base year, i. What is the GDP deflator for years 2019 and 2020? Show your workings ii. What is the inflation rate year 2019-2020? Show your workings Year Price of sugar Quantity of sugar Price of wheat Quantity of wheat 2018 $2.00 200 $10 40 2019 $2.30 250 $14 50 2020 $2.75 280 $18 80Question 2 Complete the following table for a given country and show how can you determine if the country faces an inflation in 2018? Nominal GDP2017 Nominal GDP2018 Real GDP2018 P P P 4 2 3 4 3 3 4 3 6 2 GDPUse the following data for 2019 to answer the question: Prices That Rose Health insurance Gasoline Lettuce (%) Prices That Fell +20.5 Televisions +12.8 Peanut butter +7.6 Oranges +5.9 Apples +4.2 Eggs +1.9 College textbooks +0.6 Coffee Average Inflation Rate: +2.3% Cigarettes Hot dogs College tuition Bananas (%) -20.8 -6.0 -5.5 -4.8 -4.6 -3.1 -1.4
- Calculate the growth rate in real GDP for 2012. (using 1 decimal place Calculate the growth rate in real GDP for 2013. (using 1 decimal place Calculate the cost of the market basket for 2011 (using 1 decimal place). Calculate the cost of the market basket for 2012 (using 1 decimal place). Calculate the cost of the market basket for 2013 (using 1 decimal place). Calculate the CPI for 2012 (using 1 decimal place). Calculate the CPI for 2013 (using 1 decimall place). Calculate the inflation rate for 2012 using the CPI (using 1 decimal place). Calculate the inflation rate for 2013 using the CPI (using 1 decimal place). Calculate the GDP defilator for 2012. Calculate the GDP defilator for 2013 (using 1 decimal place). Calculate the inflation rate for 2012 using the GDP deflator (using 1 decimal place). Calculate the inflation rate for 2013 using the GDP deflator (using 1 decimal place). 96 96 196 196You are provided the following data regarding an imaginary country. 2019 2020 Commodities Price Quantity Price Quantity A 3 30 25 4 20 5 30 C 20 18 25 25 a) Using the data given above, compute the Nominal and Real GDP for 2019, and 2020. (The base year is 2019) b) Compute the inflation rate for the year 2020 by using the GDP deflator.Inflation doesn’t in itself reduce people’s real purchasing power” : Discuss
- a) Explain how real interest rate affects net exports b) A friend from the U.S. visited Ghana and exclaimed that cost of living for visitors to Ghana is much cheaper now than it was 2 years ago. According to your friend, 2 years ago, a dollar was equivalent to 5 cedis. Today, a dollar buys 7.5 cedis. Is your friend right or wrong, if inflation over the 2-year period is 25 percent in the U.S. and 100 percent in Ghana?Consider the data for a known country for the consumer price index (CPI), by components:(base year 2015 = 100) a) Interpret the value of the CPI index in December 2018. b) Calculate the year-on-year inflation rate corresponding to the CPI, in December 2018. c) Suppose the GDP Deflator in 2020 is predicted to be 1.09. What can be interpreted?Calculate the GDP deflator and the rate of inflation for each year: (€ million) Nominal GDP Real GDP 2013 3,540,000 2,900,000 2014 4,730,000 3,250.000 2015 5,110,000 4,800,200