macro
The price measure MOST widely used to determine the inflation rate in the United States is the _______
consumer price index
in general, expansions are characterized by:
falling unemployment
the real interest rate is the nominal interest rate _____
less the rate of inflation
when the price level increases and incomes remain constant, ______
real income decreases
in a circular-flow model, households:
receive transfer payments from the government
shoe leather costs
increased cost of transactions due to inflation
if the wage rate is $40 per hour, and the price level is 2, then the real wage is _____ per hour
$20
consider an economy that produces only smartphones and laptops. Last year, 10 smartphones were sold at $800 each, and 5 laptops were sold at $1,000 each, while this year, 15 smartphones sold at $900 each and 10 laptops were sold at $1,100 each. Real GDP this year, using last year as a base year
$22,0000
Enchante Inc., a designer clothing company, buys $400 work of silk and $30 worth of accessories to produce each dress. id the value added by Enchante is equal to $200, the according to the value added approach, the price of the designer dress should be:
$630
unit-of-amount costs of inflation are the:
costs associated with money becoming a less reliable unit of measurement
in officall unemployment statistics, discouraged workers are:
not included in the labor force
Income divided by the price level is _____ income.
real
a survey reveals that, on a small island, intitally, 1,000 people have jobs, 200 are unemployed by looking for work, and 200 are neither working nor looking for work. suppose that 100 of the 200 people who weren't looking for work now begin looking for work and half of the new entrants find a job. The unemployment rate:
rises to 19.2
a survey reveals that, on a small island, initially 40 people have jobs, 10 are not working but are looking for jobs, and 30 people are neither working nor looking for jobs. Suppose that 10 out of 30 people who weren't working or looking for work now begin looking for work. there are now 20 people without jobs but looking for work and 40 people working. The unemployment rate
rises to 33.3%
the rate of unemployment is found by dividing the:
the number of people not working but seeking work by the sum of the number of people not working but seeking work and the number of people employed (work force)
The MOST important use of GDP is a measure of:
the size of the economy
