If the price index is P1 in one year and P2 in the next year, the inflation rate from one year to the next is calculated as

A) (P2 - P1)x 100 B) [(P1 - P2)/P2] x 100 C) [(P2 - P1)/P1] x 100 D) (P2/P1)x 100 E) (P1/P2)x 100 A) (P2 - P1)x 100 B) [(P1 - P2)/P2] x 100 C) [(P2 - P1)/P1] x 100 D) (P2/P1)x 100 E) (P1/P2)x 100

Exam 19: What Macroeconomics Is All About

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Assume that Sarah agrees to lend $100 to Sam for one year. Sam agrees to pay Sarah $110 at the end of the year. If inflation over that one year is 7%, what real rate of interest does Sarah earn on her $100?

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Question 81

Which of the following is the best example of cyclical unemployment?

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Question 82

Suppose actual output is less than potential output. If the output gap measures the output loss due to the failure to achieve full employment, it can generally be concluded that the larger this output gap, the

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Question 83

If a country's labour force is 20 million people, and 1 million people are unemployed, the country's unemployment rate is

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Question 84

If the price index is P₁in one year and P₂in the next year, the inflation rate from one year to the next is calculated as

(Multiple Choice)

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Question 85

Short- run fluctuations in real GDP around its trend value are

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Question 86

Suppose the city of Calgary has a population of 1 million, a labour force of 575 000, and employment equal to 545 000 . We can conclude that for legal and various other reasons people are excluded from the labour force.

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Question 87

If the Consumer Price Index changes from 120 in the year 2009 to 126 in the year 2011, the average rate of inflation per year over this two- year period is approximately

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Question 88

An equivalent term for "real national income" is

(Multiple Choice)

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Question 89

Suppose an employer and its employees enter into a wage contract specifying a wage increase of 2 percent. But suppose that the price level rises by 3 percent over the course of the contract. In this case,

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Question 90

Suppose the unemployment rate is 8.5 percent and we know that frictional and structural unemployment together account for 5.5 percent. The cyclical unemployment rate is then

(Multiple Choice)

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Question 91

Workers with experience and skills sometimes lose their jobs and become unemployed due to changing technology or market conditions, even while firms in other industries or regions are looking to hire more workers. This type of unemployment is called

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Question 92

In the study of short- run fluctuations in national income, potential income (output)is usually assumed to be

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Question 93

In some macroeconomic analyses, it is common to treat the level of productivity as roughly constant. This is a justifiable assumption in

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Question 94

Showing 81 - 94 of 94

Assume that Sarah agrees to lend $100 to Sam for one year. Sam agrees to pay Sarah $110 at the end of the year. If inflation over that one year is 7%, what real rate of interest does Sarah earn on her $100?

Which of the following is the best example of cyclical unemployment?

Suppose actual output is less than potential output. If the output gap measures the output loss due to the failure to achieve full employment, it can generally be concluded that the larger this output gap, the

If a country's labour force is 20 million people, and 1 million people are unemployed, the country's unemployment rate is

If the price index is P₁in one year and P₂in the next year, the inflation rate from one year to the next is calculated as

Short- run fluctuations in real GDP around its trend value are

Suppose the city of Calgary has a population of 1 million, a labour force of 575 000, and employment equal to 545 000 . We can conclude that for legal and various other reasons people are excluded from the labour force.

If the Consumer Price Index changes from 120 in the year 2009 to 126 in the year 2011, the average rate of inflation per year over this two- year period is approximately

An equivalent term for "real national income" is

Suppose an employer and its employees enter into a wage contract specifying a wage increase of 2 percent. But suppose that the price level rises by 3 percent over the course of the contract. In this case,

Suppose the unemployment rate is 8.5 percent and we know that frictional and structural unemployment together account for 5.5 percent. The cyclical unemployment rate is then

Workers with experience and skills sometimes lose their jobs and become unemployed due to changing technology or market conditions, even while firms in other industries or regions are looking to hire more workers. This type of unemployment is called

In the study of short- run fluctuations in national income, potential income (output)is usually assumed to be

In some macroeconomic analyses, it is common to treat the level of productivity as roughly constant. This is a justifiable assumption in

Economic Issues and Concepts

Economic Theories, Data, and Graphs

Demand, Supply, and Price

The Measurement of National Income

The Simplest Short-Run Macro Model

Adding Government and Trade to the Simple Macro Model

Output and Prices in the Short Run

From the Short Run to the Long Run: the Adjustment of Factor Prices

The Difference Between Short-Run and Long-Run Macroeconomics

Long-Run Economic Growth

Money and Banking

Money, Interest Rates, and Economic Activity

Monetary Policy in Canada

Inflation and Disinflation

Unemployment Fluctuations and the Nairu

Government Debt and Deficits

The Gains From International Trade

Trade Policy

Exchange Rates and the Balance of Payments

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