ECN201 - Principles of Macroeconomics - EOSA [Compatibility Mode] - Word X File Home Insert Design Layout References Mailings Review View Tell me what you want to do.. Sign in &. Share 86 Cut Find Times New Ro * 12 - A A Aa T AaBbCcI AaBbCcI AaBbC( AaBbCct AaB AaBbCCC AaBbCCD AaBbCCD BB Copy Bac Replace 11 4 Paste BI U - abe X2 X' A- z . A. 1 Normal 1 No Spac... Heading 1 Heading 2 Title Subtitle Subtle Em... Emphasis Format Painter Select Clipboard Font Paragraph Styles G Editing 1 . IXJ . . . . . .7 . QUESTION 1 The Jamaican Market Basket of Goods between 2020 and 2021 2020 2021 Prices ($) Quantity (units) Prices ($) Quantity (units) Cars 1 10.000 2 9.000 Groceries 2 20,000 3 20,000 School 3 30,000 1 20.000 Bills 4 40,000 5 30,000 The Table above contains information that is representative of the Jamaican economy's "basket of market goods." Note that the base year is 2020. Given the information above, answer the following questions: a) Calculate the 2020 nominal GDP. b) Calculate the 2021 nominal GDP. c) Calculate the 2021 real GDP. d) Define the terms 'Leakages' and Injections' in macroeconomics. Page 3 of 8 838 words + 100% 1:05 PM H Type here to search O 32"C Light rain ~ 9 6 43 (@(). 7/29/2021X ECN201 - Principles of Macroeconomics - EOSA [Compatibility Mode] - Word Sign in &. Share File Home Insert Design Layout References Mailings Review View Tell me what you want to do.. Find 86 Cut Times New Ro - 12 - A A Aa - AaBbCcI AaBbCcI AaBbC( AaBbCct AaB AaBbCCC AaBbCCD AaBbCCD Bac Replace BB Copy 11 4 Paste B I U - abe X, X' A - z . A . 1 Normal 1 No Spac... Heading 1 Heading 2 Title Subtitle Subtle Em... Emphasis Select Format Painter Clipboard Font Paragraph Styles G Editing QUESTION 2 Use the following graph to complete the questions below: i ...... ii . ..... iii... 100 iV amess $5000 $6000 Real GDP A) Assign the correct label to each of the following points (do not abbreviate your answer) 1 . 111 11. vi. + 100% Page 4 of 8 825 words 1:07 PM H Type here to search O WE 32"C Light rain ~ 9 6 3 / ). 7/29/202110. 98 ECN201 - Principles of Macroeconomics - EOSA - Word X Home Insert Design Layout References Mailings Review View Tell me what you want to do.. Sign in File &. Share 86 Cut Find Times New Ro * 12 - A A Aa - AaBbCcI AaBbCcI AaBbC( AaBbCct AaB AaBbCCC AaBbCCD AaBbCCD BB Copy Bac Replace 11 4 Paste 1 No Spac... Heading 1 H Subtitle Emphasis Format Painter B I U - abe X X' A - Z - A . 1 Normal Heading 2 Title Subtle Em... Select Clipboard Font Paragraph Styles G Editing 7 . 6 . . . . . .7 . B) State and define the economic situation being demonstrated in the graph above? C) State and explain two (2) approaches that can be used by policymakers to correct the above economic situation above, D) Given the Marginal Propensity to Consume (MPC) is equal to 0.8, calculate the dollar ($) value of the expenditure needed to "correct" the economic situation above. Page 4 of 8 Page 4 of 8 822 words + 100% 1:09 PM Type here to search O 32"C Light rain ~ 9 6 43 (). 7/29/2021ECN201 - Principles of Macroeconomics - EOSA - Word X File Home Insert Design Layout References Mailings Review View Tell me what you want to do.. Sign in &. Share 86 Cut Times New Ro - 12 - A A Aa 21 AaBbCcI AaBbCcI AaBbC( AaBbCct AaB Find AaBbCCC AaBbCCD AaBbCCD BB Copy Bac Replace 11 4 Paste 1 Normal 1 No Spac... Heading 1 Heading 2 Title Subtitle Format Painter BI U + abe X2 X' A - Z . A. Subtle Em... Emphasis Select Clipboard Font Paragraph Styles G Editing 6 . . . . . .7 . QUESTION 3 After reading today's newspaper, you are aware of the Bank of Jamaica's (BOJ's) plan to sell $5 billion worth of Government of Jamaica (GOD) bonds. The proceeds of this transaction will be used to finance development of the road network in St. Thomas. It is expected that work will commence in 2021 and end in December 2023. a) Outline three (3) economic functions that BOJ performs. b) What kind of macroeconomic policy measure is being undertaken by the BOJ? c) Suggest, with explanation, one (1) macroeconomic policy measure that could be used by the BOJ to counter the impact of the bond transaction. d) Distinguish between the speculative and transaction motives for holding money. Page 5 of 7 809 words + 100% 1:11 PM Type here to search O EM 32"C Light rain ~ 9 ( 13 ( (). 7/29/2021