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1. For the next two questions, consider Adulttown, where everyone is of working age. It has a population of 100,000. Of those 100,000: 60,000 work

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1. For the next two questions, consider Adulttown, where everyone is of working age. It has a population of 100,000. Of those 100,000: 60,000 work full-time 8000 work part-time 12,000 aren't working or looking for work 20,000 aren't working but are looking actively for work. This economy's labor force participation rate is _ percent. (Carefully follow all numeric instructions. Enter your answer "as a percent, but without the percentage sign." In other words, if your answer is 0.9999 (99.99 percent), enter just 99.99 in the blank.) 2. This economy's unemployment rate is percent. 3. Let's say that the government in some country enacts tax legislation aimed at getting businesses to buy more of the assets used in production (like factories, machinery, etc.). This would cause A. the demand for loanable funds curve to shift to the right B. the supply of loanable funds curve to shift to the right C. the supply of loanable funds curve to shift to the left D. the demand for loanable funds curve to shift to the left 4. Consider these stages -- not necessarily in order -- of the evolution of money: (A) Money that gets it value only by order of the government (B) Money where all of its value is based on a commodity like gold (C) Money that gets part of its value from a commodity like gold We said in lecture that most economies move from A. (A) to (B) to (C) B. (B) to (A) to (C) C. (A) to (C) to (B) D. (B) to (C) to (A) 5. For the next four questions, please consider a closed economy with the following information: Government purchases = $1000 Transfer payments = $0 (none in this economy) Net taxes = $1500 Output (income) = $8000 Consumption = $3500 Calculate this economy's public savings, carefully following all numeric instructions

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