# Pts according to the actual federal funds rate use

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Question 104 / 4 ptsAccording to the actual federal funds rate (use the Effective Federal Funds Rate provided above for 2011-10-01), is the Fed being hawkish or dovish?
Question 114 / 4 ptsNow consider the modified version of the Taylor using the unemployment gapinstead of the GDP gap just like we did in the lectures. Also, we will use the PCE core rate of inflation instead of overall inflation like you used above - theFed arguably cares more about core inflation than overall inflation.Modified Taylor Rule formula: ifTR = r* + πA+ 0.5[πA- π*] + (-1.25) [URA- NAIRU]Additional needed data from Federal Reserve data from October 1, 2011:Unemployment Rate URA= 8.7%NAIRU = 5.5%Inflation PCE Core (actual inflation) πA= 1.8%Now what is the federal funds rate implied by the modified Taylor Rule above?
Question 124 / 4 ptsAccording to the actual federal funds rate, is the Fed being hawkish or dovish?
Part 2: True/false questions:Questions are worth 1.5 points each.Question 131.5 / 1.5 ptsUnemployment benefits are an example of fiscal policy.
Question 141.5 / 1.5 ptsAccording to Ricardian Equivalence in a strict sense, the tax multiplier is zero.TrueFalse
Question 151.5 / 1.5 ptsWhen looking at the GDP data from quarter 3 of 2012, government purchases accounted for a larger share of the economy than investment expenditures did.
Question 161.5 / 1.5 ptsAccording to one of the lectures featuring a pie chart on federal government expenditures, transfer payments went from about 25% of total expenditures in the 1960s to over 46% of total expenditures in 2010.
Question 171.5 / 1.5 ptsAs of 2010, interest payments on the federal debt exceeded 10% of total expenditures.
Question 181.5 / 1.5 ptsWe argued that the tax revenue that the federal government collects is pro-cyclical, that is, when economic activity is growing so is tax revenue. An example of this is the new economy when tax revenue increased along with the economic growth.TrueFalse