View the step-by-step solution to:

Question

________________________________________


Screen Shot</h1><p class='abPRemoveTitle'> 2020-01-25 at 4.24.17 PM.pngScreen Shot 2020-01-25 at 4.18.43 PM.png

Screen Shot 2020-01-25 at 4.20.15 PM.pngScreen Shot 2020-01-25 at 4.19.14 PM.png

Screen Shot 2020-01-25 at 4.21.11 PM.png

Screen Shot 2020-01-25 at 4.18.43 PM.png

Assume the following data for a country:
Number of people
Category
(millions )
Total population
500
Population under 15 years of age or
institutionalized
120
Not in labor force
150
Unemployed
23
Part-time workers looking for full-time jobs
10
Instructions: Enter whole numbers for your answers below.
What is the size of the labor force?
million
What is the official unemployment rate?
%

Screen Shot 2020-01-25 at 4.19.14 PM.png

Suppose that the natural rate of unemployment in a particular year is 4 percent and the actual rate of
unemployment is ? percent. Use Okun’s law to determine the size of the GDP gap in percentage-point terms. If the potential GDP is
$500 billion in that year, how much output is being forgone because of cyclical unemployment? Instructions: Enter whole numbers for your answers below.
GDP gap = E 96 Forgone output = $ |: billion

Screen Shot 2020-01-25 at 4.20.15 PM.png

If the CPI was 140 last year and is 161 this year, what is this year's rate of inflation?
Instructions: Round your answer to two decimal places.
%
In contrast, suppose that the CPI was 140 last year and is 136 this year. What is this year's rate of inflation?
Instructions: Round your answer to two decimal places.
%
What term do economists use to describe this second outcome?
(Click to select)

Screen Shot 2020-01-25 at 4.21.11 PM.png

If your nominal income rose by 6.30 percent and the price level rose by 2.80 percent in some year, by what
approximate percentage would your real income increase? Instruction: Round your answer to one decimal place. 96 If your nominal income rose by 3.80 percent and your real income rose by 1.30 percent in some year, what
must have been the approximate rate of inflation? Instruction: Round your answers to one decimal place. |:|%

Screen Shot 2020-01-25 at 4.24.17 PM.png

Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
Let our 24/7 Macroeconomics tutors help you get unstuck! Ask your first question.
A+ icon
Ask Expert Tutors You can ask You can ask You can ask (will expire )
Answers in as fast as 15 minutes
A+ icon
Ask Expert Tutors