Study Guide for Final Exam/Remaining Quizzes
Study Guide for Final Exam/Remaining Quizzes 40147
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BERNANKE LECTURE 1 HOMEWORK ORIGINS amp MISSION OF THE FEDERAL RESERVE Please keep your answers brief and to the point Bullets preferred A completed hard copy must be submitted in your discussion sections No submissions will be accepted by email No late submissions will be accepted You will be tested on this material on Quiz 3 1 What is a central bank and how is a central bank different from an ordinary commercial bank Government agency that stands at the center of the monetary and financial system of a country 2 What is a currency union Provide an example A number of countries share a bank European Union and the euro 3 What is the mission of a central bank What is the difference between the economic stability and the financial stability parts of the mission of a central bank To achieve macroeconomic stability and ensure financial stability Economic stability is working to avoid big swings Financial stability is trying to keep everything functioning normally 4 What are the three policy tools that central banks use to achieve this mission Monetary policy Financial regulation amp supervision Provision of liquidity 5 What is an interest rate What is the name of the interest rate that the Fed raises and lowers The percentage rate at which money is borrowed 6 Explain the process of how the Fed Changes interest rates and how those changes encourage an appropriate increase or decrease in spending in the economy The Fed changes the funds rate which correlates to other interest rate systems Depending on the higher or lower interest rate people decrease or increase their spending based on their ability to borrow money 7 What does Mr Bernanke mean by liquidity Providing of shortterm loans 8 Which are the oldest Central Banks in the world Swedish English and French Central Banks 9 What were the two important roles of these early Central Banks Serving as a lender and issuing money 10 What is a bank panic What causes it What is a bank run How can a bank panic cause an economy to crash Bank panic when people lose trust in the ability of a bank to provide funds caused by a loss of confidence in the institution of the bank Bank run when everyone rushes to the bank at once to take out all their money economy crashes because the bank doesn t have all that money to give back 11 Describe how a financial panic can lead to loss of income and employment in sectors of the economy seemingly unrelated to the financial sector The bank must call in loans that other businesses have taken in order to pay everyone that demands their money back 12 Why might a bank run worsen if a bank has to sell assets in response to depositors withdrawals People will see that the bank is selling its assets so people become concerned and will want their money back 13 Who is Walter Bagehot and what did he say about what central banks should do during bank panics English journalist who said that during a panic the central banks should lend freely 14 How does the lender of last resort help prevent bank runs And by doing so the chances of a broader financial panic People don t feel the need to withdraw their money from the bank because they know that no matter what the bank will be able to provide them with their cash 15 When was Federal Reserve created Why was it created Created in 1914 to ensure the financial stability of the US economy 16 Why did Congress create a central bank So the government would be able to address financial panice 17 What was the New York Clearing House A private institution where banks could clear checks against each other 18 What is a gold standard Where the dollar has a set worth of a specific amount of gold 19 Why is a gold standard considered an alternative to a central bank It provides the financial stability that a central bank would provide 20 What are benefits of the gold standard There is no exibility to raise or lower the interest rate 21 What are drawbacks of the gold standard Shocks and speculative attack 22 Explain how shocks can spread among countries under an international gold standard Currencies that are all tied to the international gold standard feel the effects of recession in other countries because they have no way of modifying the value of their currency in regards to the other countries 23 If interest rates are different in two countries that are both on an international gold standard what will likely happen The countries will raise or lower their interest rates to match the other since they are tied 24 What might cause a run on gold in a country What are the consequences of a run If one country sets an interest rate that isn t appropriate for the other country people may not be able to borrow and they feel the need to exchange their cash for gold since the bank can t afford the new interest rate thus there is a shortage of gold and you get mass in ation 25 How can a gold standard create stable prices over a longrun period Eventually all economies reach equilibrium with each other since they are all tied to the same exchange rate for gold thus a longterm stability is reached 26 How can a gold standard cause a de ationary period What is undesirable about falling prices If economy grows quickly and there is a shortage of gold when prices fall it is harder for the economy to grow 27 Who said You shall not press down upon the brow of labor this crown of thorns you shall not crucify mankind on a cross of gold What was he referring to William Jennings Bryan was referring to the gold standard forcing farmers to deal with the price of their goods going down but the cost of their loans staying the same 28 Why the Federal Reserve Act of 1913 succeed when two other attempts to create a central bank failed It directly and indiscriminately raised interest rates 29 What were the major causes of the Great Depression WWI problems with the international gold standard and the stock market bubble of the 19205 along with the intellectual issues 30 Summarize the economic conditions and events during the Great Depression Discuss the Stock Market Crash the change in price levels the fall in output the rise in unemployment and the increase in the number of bank failures Stock market crashed people were left without their savings and had borrowed on return price levels dropped over 10 thus significantly less was being produced this led to greater unemployment which meant that more banks failed because they had less to invest in and less people were providing them with money 31 Describe monetary policy during the Great Depression The Fed did not ease its monetary policy because it wanted to maintain the gold standard stop stock market speculation and believed in liquidationist theory 32 What monetary policy errors were made Why The Fed kept its policies too tight and not exible enough so the gold standard forced fixed exchange rates that could not be changed because the Fed wanted to stop speculation and keep the status quo 33 In which of its two missions did the Federal Reserve fail during the Great Depression The Fed failed in making the economy sound and stable during the Great Depression 34 Discuss the role of the gold standard during the Depression and the resulting level of interest rates in the economy Because of the gold standard the Fed was unable to change interest rates and they remained too high for people to feel comfortable enough to borrow thus the economy remained stagnant 35 According to Mr Bernanke what two things did President Franklin Roosevelt do that resulted in the US economy rebounding after the Great Depression He abandoned the gold standard and created the FDIC 36 Why would the abandonment of a gold standard positively affect economic conditions Since the interest rate was no longer tied to the gold standard the fed could lower it to a level where people felt comfortable borrowing money spurring the economy BERNANKE LECTURE 2 HOMEWORK The Federal Reserve after World War 11 Please keep your answers brief and to the point Bullets preferred A completed hard copy must be submitted in your discussion sections No submissions will be accepted by email No late submissions will be accepted You will be tested on this material on Quiz 3 1 How did the US finance WWII and what was the Fed s role The Fed made interest rates low so it was cheaper for the government to borrow money to finance the war 2 How are low interest rates detrimental to an already strongly growing economy People continue to borrow because the interest rate is so low and the economy can overheat and crash 3 What is the Fed Treasury Accord of 1951 Has it been effective in improving economic conditions It allowed the Fed to independently set the interest rate to achieve economic stability It has improved economic conditions because it is not subject to shortterm political pressures 4 Who said in ation is a thief in the night and if we don t act promptly and decisively we will always be behind Explain William McChesney Martin said this and he meant that in ation has a way of devaluing currency which steals the moneyquot 5 What is a Lean Against the Wind monetary policy Was the lean against the wind policy effective in the 19505 and early 19605 When the economy is growing too quickly the Fed tightens monetary policy to prevent overheating which was effective 6 What was a big problem for the US in the mid19605 and 705 What was US monetary policy during these years Because of lax monetary policy borrowing became too easyquot which led to a surge in in ation and in ation expectations 7 Who said in ation is always and everywhere a monetary phenomenon What do you think it means Milton Friedman said this and he meant that in ation is purely tied to monetary policy 8 Is there a tradeoff between in ation and unemployment Explain In the long run there is no tradeoff because low and stable in ation leads to a more stable economy which makes it more likely that workers will be hired 9 What did Chairman Paul Volcker do in terms of monetary policy in 1979 What were Chairman Volcker s goals He instituted a strong break in the way that monetary policy was managed and his goal was to break the cycle of in ation through creating credible and disciplined monetary policy 10 Why was there significant political pressure against the policy The high interest rates caused a sharp recession 11 What is disin ation Is it desirable Why or why not Disin ation is a reduction in the rate of in ation It is desirable because it keeps in ation in check and helps maintain a stable economy 12 What is tight money or a tight monetary policy Tight money is a policy of constricting spending to curb in ation in an economy that is growing too quickly 13 Why was Mr Volcker s tight money policy considered quotcostlyquot How did this policy affect the US economy It caused a recession 14 How did this experience affect monetary policy after the recession and even today Will the US even have a similar phenomenon to the Great In ation Why or why not The Fed is wary of controlling interest rates too tightly and now things are more volatile Thus the US can have a similar phenomenon to the Great In ation because of the volatility 15 Explain a central banker s concept of finetuning as it relates to in ation and unemployment The notion that the Fed and fiscal policies could keep the economy running smoothly in ation low and unemployment at its lowest levels possible 16 Do you think data collection and forecasting on in ation and unemployment is important to central bankers Why Yes because decisions they make do not affect the present so much as future issues regarding the economy Thus being able to predict future possibilities is very important 17 What was The Great Moderation Who was Chairman of the Fed during the period of The Great Moderation Alan Greenspan the economy was very stable with much stability in GDP growth 18 What was the role of monetary policy during the Great Moderation Any difference from the Volcker period How did it affect the rate of growth of real GDP In ation rates The length and frequency of recessionary periods and financial crises The pain from the Volcker period paid off and the economy had low stable in ation real GDP was relatively stable as were in ation rates Whereas the Volcker period was filled with lots of volatility and recessions afterwards they became much shorter and farther apart Monetary policy played a significant role in creating this greater 19 What was the housing bubble What are some possible causes of the bubble The housing bubble was a significant expansion of the production of housing with the assumption that demand would meet the huge supply Some possible causes are the optimism of the tech boom the fact that too many people were being allowed to get mortgages and the types of mortgages that were being given to them 20 What is nonprime mortgage Mortgages offered to people who weren t necessarily qualified for them They had little to no down payment and required little to no documentation 21 What is subprime mortgage Subprime mortgage is the lowest quality mortgage in terms of the credit of the buyer 22 What does it mean that a borrower has negative equity in a home They owe more on the home than it is worth 23 What triggered the recent financial crisis The housing bubble triggered the recent financial crisis 24 What privatesector and publicsector vulnerabilities in the system turned the housing bust into a financial crisis On the public side many borrowers and lenders took on too much debt also contracts became much more complex On the public side the financial regulatory structure hadn t kept up with the times also there were to many institutions that were too big to fail and had limited oversight 25 How did the Great Moderation affect the vulnerability of the economy to a serious financial trigger Because of the great moderation people began to feel that the economy was so secure that they could deemphasize financial stability policies which left the economy vulnerable 26 What were the four economic consequences of the crisis Sharp increases in financial stress the stock market plunged home construction dropped significantly and unemployment rose sharply 27 Why was the collapse in housing prices so much more serious than the collapse of dotcom stock prices in 2001 Since the housing bubble operated as a trigger to highlight all of the previous vulnerabilities and weaknesses in the economy it acted as a quotmatchquot for the dry tinderquot BERNANKE LECTURE 3 HOMEWORK THE FEDERAL RESERVE S RESPONSE TO THE FINANCIAL CRISIS 1 What is the main tool the central bank uses for financial stability in the economy The lender of last resort power 2 What is the main tool the central bank uses for economic stability Monetary policy that involves adjusting the level of shortterm interest rates 3 What are GSEs What advantages do GSEs such as Fannie Mae and Freddie Mac offer to borrowers and lenders Government sponsored enterprises Offer the advantage of mortgagebacked security 4 What is securitization Why would firms want to engage in securitization Process of combining hundreds or thousands of underlying mortgages and selling them to investors Firms make a profit from selling the mortgage bundles 5 What is a mortgagebacked security or MBS A combination of hundreds or thousands of underlying mortgages which are sold to investors 6 Who pioneered the development of mortgagebacked securities Fannie Mae and Freddie Mac 7 Explain why housing prices had to keep increasing in order for adjustablerate mortgages ARMs to make sense for borrowers and lenders So homeowners could afford to refinance into a more standard mortgage 8 How were option ARMs stated income loans and nodoc loans helpful to borrowers How did they contribute to the housing price bubble How did they contribute to the bursting of the bubble Allowed them to determine how much they wanted to pay Gave increased exibility because of this they were given to people who couldn t afford to pay them back and therefore more people than deserved them When enough peonle defaulted on their pavments the bubble burst 9 Why were Fannie and Freddie at risk in a situation with a lot of mortgage losses They didn t have enough capital to pay off and make good on the guarantees they had promised when people defaulted on their loans 10 What exposed Fannie and Freddie to additional risks They purchased their own mortgagebacked securities 11 What was a key trigger of the financial crisis The exotic nonstandard mortgages being offered 12 Mention two reasons why many investors were willing to buy CDOs collateralized debt obligation and MBSs mortgagebacked securities What was the role of credit default swaps Rating agencies were giving them very good safety ratings Credit default swaps concentrated risk in particular companies or in particular markets 13 What do you think is the role of ratings agencies in financial markets To assess the risk involved with investing in various financial packages or companies 14 How was the financial crisis different from a classic bank panic It dealt with multiple markets across the entire economy 15 What is the difference between a solvency crisis and a liquidity crisis Solvency crisis where institutions don t have enough money to pay off their losses Liquidity crisis where there is a lack of cash ow into the institution 16 How can the entire system be endangered if just a few banks or financial institutions have solvency or liquidity problems Because those few banks and financial institutions control the majority of the market too big to failquot 17 What is the difference between 1930 and 2008 in terms of bank failures The mortgages were distributed throughout the whole financial system in complex packages versus in 1930 it was a simple run on the banks 18 Name some of the large financial institutions that came under pressure during the financial crisis Lehman Brothers Merrill Lynch AIG and Bear Stearns 19 What lessons had the Fed learnt from the Great Depression The central bank had to lend freely and prevent de ation and contraction of the money supply 20 What is the G7 Seven largest industrial countries in the world 21 What are the four things the G7 countries specifically agreed to do when they met on October 10th 2008 Prevent the failure of any more systematically important financial institutions Make sure that banks and other financial institutions had access to funding from central banks and capital from governments Work to restore depositor and investor confidence Cooperate as much as possible to normalize credit markets 22 Normally the overnight interest rate between banks is extremely low True or False 0 True 23 Mention two actions the Fed took at this time It provided liquidity and made some modifications to reassure banks about the availability of credit 24 Besides the role of the traditional tool of the discount window in halting bank runs why was additional action needed this time Because the financial system is a lot more complicated there are many more types of financial institutions in markets now 25 What institutions and markets were covered by the Fed s actions Banks brokerdealers commercial paper borrowers money market funds and the assetbacked securities market 26 Are money market funds insured No 27 What is the relationship between money market funds and the commercial paper market Money market funds invest in the commercial paper market 28 How did the Fed and Treasury respond to the run on money market funds The treasury provided a temporary guarantee on people s money and the Fed created a backstop liquidity program 29 Why did the Fed facilitate the takeover of Bear Stearns by JP Morgan Chase Bear Stearns was solvent and the Fed was concerned that the collapse of Bear Stearns would set off a full edged financial panic 30 What was the Fed39s primary concern regarding the bankruptcy of AIG That it was so interconnected that if it failed the Fed would be unable to control the crisis any further 31 What was problematic about the Fed39s response to the potential failures of Bear Stearns and AIG The Fed didn t have any legal or policy tools that would allow these firms to go bankrupt without doing incredible damage to the rest of the system 32 What is a toobigtofail financial institution An institution that s collapse would cause the destruction of the entire financial system 33 Would it be better to let those institutions fail so as to discourage future risky actions Why or why not No because then the whole system would collapse which would lead to a complete failure of the US economy and an extreme depression 34 Which was worse in terms of unemployment lost value of stocks and industrial production this recession or the Great Depression The Great Depression BERNANKE LECTURE 4 HOMEWORK THE AFTERMATH OF THE CRISIS 1 What was different about the institutional structure of this crisis It wasn t bankers and depositors but were brokerdealers repo markets and money market funds 2 Name some of the institutions that the Fed worked with during the financial crisis to bring stability to the system The treasury FDIC Foreign agencies 3 What are currency swaps Foreignexchange agreement between two institutes to exchange aspects of a loan in one currency for equivalent aspects of an equal in net present value loan in another currency 4 What policy did the Fed use to stabilize the financial system Disclosed the financial positions of the major banks to the markets 5 What policy did the Fed use to stabilize the economy and promote economic recovery Provided short term liquidity as the lender of last resort 6 What is conventional monetary policy Open market purchases of shortterm government debt 7 What are the two ways in which the Fed s lenderoflastresort programs came to an end The Fed would charge an interest rate lower than the crisis rate by higher than the normal rate but also some programs just came to an end 8 What entity conducts the monetary policy in the US The Federal Reserve 9 Why was the scope of conventional monetary policy exhausted in Dec 2008 The Federal funds rate had been reduced to zero it couldn t go any lower 10 What is Quantitative Easing Where the central bank adds new money to the market 11 How could the Fed affect interest rates by purchasing Treasury securities When the Fed buys treasury securities it reduces their availability in the market so investors are willing to pay a higher price for them 12 What is the Fed s dual mandate or two objectives Maximum employment Price stability 13 What is the distinction between monetary and fiscal policy Monetary policy is set by the central bank while fiscal policy is set by the national government 14 What is the Fed s numerical definition of price stability 2 in ation 15 Is Quantitative Easing a form of government spending No the Fed is not actually spending any money 16 What entity officially designates the beginning and end date of recessions The Business Cycle Dating Committee at the National Bureau of Economic Research 17 When did this recession begin and end Began in December of 2007 and ended in mid 2009 18 When the NBER says the recession has ended what does it mean The economy is starting to expand 19 How is the recovery after this recession Sluggish 20 What are structural factors in the housing market which are preventing a more robust recovery High excess supply of housing and the inability of people to get a mortgage 21 What is the role of small business in the economy They are an important creator of jobs 22 How has the European situation affected US financial and credit markets By creating risk aversion and adding volatility to the financial markets 23 What are the strengths of the US economy Largest economy in the world Has a diverse set of industries entrepreneurial culture exibility of the markets technological advantages and large good research institutions 24 The recent financial crisis revealed which important weakness in our financial system Lack of attention to broad stability and the existence of institutions that are too big to fail 25 One of the main themes of the DoddFrank Act is to create a systemic approach where regulators look at the whole system and not just individual components A council has been created to do just this What is the name of this council The financial stability oversight council 26 What kind of test does DoddFrank require of larger institutions A stress test to make sure that the institutions can withstand major shocks to the financial system 27 The DoddFrank Act gives this authority to the FDIC so it can shut down large complex firms quickly and efficiently over a weekend avoiding panics and bank runs What is the name of this authority The orderly liquidation authority 28 What new agency did the DoddFrank Act create to protect consumers in their financial dealings The Consumer Financial Protection Bureau 29 During much of the period after World War 11 because things were relatively stable because financial crisis were something that happened to emerging markets many central banks began to view this policy as kind of a junior partner to monetary policy What is the policy Financial stability policy 30 Does Mr Bernanke think that the financial crises can be eliminated forever No they are unavoidable THE GEORGE WASHINGTON UNIVERSITY Department of Economics ECON 1012 PRINCIPLES OF MACROECONOMICS Prof Irene R Foster UIZ I Friday 800am 50 points CELL PHONES MAY NOT BE USED AS CALCULATORS YOUR NAME ECON 1012 CLASS MEETING TIME SECTION TIME amp TA Econ 1012 GWUEconomics Spring 20 12 1 1 point NominalReal GDP shows changes in both output and prices between two years Circle the correct answer 2 1 point Real GDP totals the dollar value of all nal goods and services produced within the borders of a given country in a given period of time using constant prices True or False 3 1 point An industrial robot purchased by General Motors to assemble automobiles is an example of a nal good True or False 4 1 point The chicken you purchase to cook a meal for your family is an example of an intermediate good True or False 5 1 point Which of the following would be counted in 201139s GDP Circle the correct answer the value of a loan you take in 2011 the value of a TV that was produced in 2010 but not sold until 2011 the bonus check a stockbroker gets from hisher company in 2011 the value of a bond sold by the federal government 6 1 point Which of the following is included in both the US GDP and GNP Circle the correct answer The value of all cars produced by Ford in Mexico The value of all cars produced by General Motors in the US The value of all cars produced by Toyota in the US The value of cars produced by Nissan in Japan and the US 7 2 points Name the three methodsapproaches of calculating GDP Will the GDP numbers using all three methods be exactly the same 8 4 points Refer to the information provided in the table below to answer the questions that follow Please note that Nonresidential investment is the same as business xed investment Billions Durable goods 800 Nonresidential investment 400 Federal purchases of goods 300 Exports 400 State and local purchases of goods 200 Residential investment 50 Services 500 Imports 250 Change in business inventon39es 25 Nondurable goods 700 Econ 1012 GWUEconomics Spring 20 12 a 2 points What are net exports in billions of dollars b 2 points What is gross domestic product in billions of dollars 9 1 point In 2010 nal sales equal 350 billion and the change in business inventories is 60 billion GDP in 2010 is billion 10 1 point The largest factor income component of US GDP is 11 1 point What should be subtracted from GDP to calculate national income 12 1 point If national income is 600 billion personal income is 400 billion personal taxes are 120 billion then disposable income equals billion 13 10 points Refer to the information provided in the Table below to answer the questions that follow Assume that this economy produces only three goods 2004 2009 Product Quantity Price Quantity Price Movies 20 600 30 700 Burgers 100 200 90 250 Bikes 3 100000 6 110000 a 3 points Calculate nominal GDP for 2004 and 2009 b 3 points Treat 2004 as the base year Calculate real GDP for 2004 and 2009 c 3 points Treat 2004 as the base year Calculate the GDP de ator for 2004 and 2009 d 1 point Treat 2004 as the base year What is the in ation rate between 2004 and 2009 Econ 1012 GWUEconomics Spring 20 12 Syllabus 2 points each 1 The prerequisite for this class is and 2 Questions on course policies amp grades should be directed to your TA True False 3 When using your iClicker you will be graded on and 4 PearsonMyLab online assignments will be due at 1159pm sharp every Friday night True False 5 Your lowest PearsonMyLab scores will be dropped at the end of the semester 6 There will be quizzes over the course of the semester 7 Makeups for quizzes and exams will be given only for excused absences True False 8 All exams Midterm and Final will be cumulative True False 9 Students who miss the midterm without an excused absence will receive a on their Midterm 10 Your Midterm will be on at ampm 11 In this class you have to demonstrate your ability at 4 levels of academic performance knowledge comprehension application and analysis True False 12 My TA s rst and last name is must be spelled correctly THE GEORGE WASHINGTON UNIVERSITY Department of Economics ECON 1012 PRINCIPLES OF MACROECONOMICS Prof Irene R Foster QUIZ I Answer Kev Friday 800am 50 points CELL PHONES MAY NOT BE USED AS CALCULATORS YOUR NAME ECON 1012 CLASS MEETING TIME SECTION TIME amp TA Econ 1012 GWUEconomics Spring 20 12 1 1 point m GDP shows changes in both output and prices between two years Circle the correct answer 2 1 point Real GDP totals the dollar value of all nal goods and services produced within the borders of a given country in a given period of time using constant prices True or False 3 1 point An industrial robot purchased by General Motors to assemble automobiles is an example ofa nalgood True or False 4 1 point The chicken you purchase to cook a meal for your family is an example of an intermediate good True or False 5 1 point Which of the following would be counted in 201139s GDP Circle the correct answer the value of a loan you take in 2011 the value of a TV that was iroduced in 2010 but not sold until 2011 the value of a bond sold by the federal government 6 1 point Which of the following is included in both the US GDP and GNP Circle the correct answer The value of all cars iroduced bi Ford in Mexico The value of all cars produced by Toyota in the US The value of cars produced by Nissan in Japan and the US 7 2 points Name the three methodsapproaches of calculating GDP Will the GDP numbers using all three methods be exactly the same 8 4 points Refer to the information provided in the table below to answer the questions that follow Please note that Nonresidential investment is the same as business xed investment Billions Durable goods 800 Nonresidential investment 400 Federal purchases of goods 300 Exports 400 State and local purchases of goods 200 Residential investment 50 Services 500 Imports 250 Change in business inventon39es 25 Nondurable goods 700 Econ 1012 GWUEconomics Spring 20 12 a 2 points What are net exports in billions of dollars b 2 points What is gross domestic product in billions of dollars GDP C 1 G NX 800 700 500 400 50 25 300 200 400 250 2000425500150 9 1 point In 2010 nal sales equal 350 billion and the change in business inventories is 60 billion GDP in 2010 is billion 10 1 point The largest factor income component of US GDP is 11 1 point What should be subtracted from GDP to calculate national income 12 1 point If national income is 600 billion personal income is 400 billion personal taxes are 120 billion then disposable income equals billion 13 10 points Refer to the information provided in the Table below to answer the questions that follow Assume that this economy produces only three goods 2004 2009 Product Quantity Price Quantity Price Movies 20 600 30 700 Burgers 100 200 90 250 Bikes 3 100000 6 110000 a 3 points Calculate nominal GDP for 2004 and 2009 Give 15 ioints ior each answer b 3 points Treat 2004 as the base year Calculate real GDP for 2004 and 2009 Give 15 ioints ior each answer 0 3 points Treat 2004 as the base year Calculate the GDP de ator for 2004 and 2009 Give 15 ioints ior each answer Econ 1012 GWUEconomics Spring 20 12 d 1 point Treat 2004 as the base year What is the in ation rate between 2004 and 2009 Syllabus 2 points each 1 The prerequisite for this class is and 2 Questions on course policies amp grades should be directed to your TA True 3 When usini iour iClicker you will be graded on and 4 PearsonMyLab online assignments will be due at 1159pm sharp every Friday night True 5 Your lowest PearsonMyLab scores will be dropped at the end of the semester 6 There will be quizzes over the course of the semester 7 Makeups for quizzes and exams will be given only for excused absences False 8 All exams Midterm and Final will be cumulative False 9 Students who miss the midterm without an excused absence will receive a on their Midterm 10 Your Midterm will be on at I am 11 In this class you have to demonstrate your ability at 4 levels of academic erformance knowledge comprehension application and analysis False 12 My TA s rst and last name is must be spelled correctly
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