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1. In the United States real GDP is reported each quarter.
These numbers are adjusted to make them measure at annual and seas on ally adjusted rates.
These numbers are adjusted to make them annual rates, but no adjustme nt for seas onal variatio ns are made.
These nu mbers are quarterly rates that have bee n seas on ally adjusted.
These nu mbers are at quarterly rates and have not bee n seas on ally
Political in stability can reduce foreig n in vestme nt, reduci ng growth.
Garys Becker proposal to pay mothers in developing countries to keep their children
in school has not worked very well in practice.
Policies desig ned to preve nt imports from other coun tries gen erally in crease
econo mic growth.
All of the above are correct.
adjusted.
2. The price of CD players in creases dramatically, caus ing a 1 perce nt
in crease in the CPI. The price in crease will most likely cause the GDP deflator to in crease by
more than 1 percent.
less than 1 percent.
1 perce nt.
It is impossible to make an in formed guess without more in formati on.
Stock
Sym
Yld %
PE
Vol 100s
Hi
Lo
Close
Net Chg
Ge nMills
GIS
2.5
35
13758
44.3
43.5
43.97
-0.63
Gillette
G
2.2
31
30428
31.1
29.7
30
0.17
Graco
GGG
1.2
16
705
24.2
23.1
23.95
-0.53
Hershey
HSY
2.1
38
5418
63.4
61.7
62.45
0.72
6. Use the following table to answer the following question.
Assume that the closi ng price was also the average price at which each stock tran sacti on
took place. What was the total dollar volume of Gillette stock traded that day?
$912,840,000
$91,284,000
$9,128,400
$912,840
7.
7. Suppose that in a closed economy GDP is equal to 10,000, taxes are equal to 2,500
Consumption equals 6,500 and Government expenditures equal 2,000. What are private saving, public savi ng, and n ati onal sav ing?
1500, 1000, 500
1000, 500, 1500
500, 1500, 1000
None of the above are correct.
a. every risk-averse pers on.
pers on will
earn a higher
rate
of return
than every non-risk averse
b. every risk-averse
pe
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