Flag question: Question 1 Question 1 5 pts In a country with 80 million people aged 16 years and older, 40 million are in the labor force, and 30 million are employed. Question: Calculate the unemployment rate. Enter your answer, in the box below, as a decimal (e.g. if your answer is 0.8, only enter 0.8. If your answer is -0.8, only enter -0.8). DO NOT multiply your answer by 100, include any $ or % signs or other symbols. Flag question: Question 2 Question 2 10 pts Suppose a country produced the following two goods: Goods Produced Number. of chocolates Price per chocolate Number of strawberries Price per strawberry 2023 25 $10 18 $5 2024 15 $16 12 $10 Question: Assume a base year as 2023. The nominal GDP in 2023 is and the real GDP in 2024 is . Enter your answer, in the boxes above, as a whole number (e.g. if your answer is $80.50, only enter 81. If your answer is -$80.30, only enter -80). DO NOT include: any sign or other symbols. Flag question: Question 3 Question 3 10 pts Assume a typical basket consisting of the following. 2023 spending basket 2023 Basket Annual Cost in 2023 Rent (2-bedroom apartment) $550 Salad (50 at $8 each) Movie tickets (10 at $12 each) 2024 spending basket 2024 Basket Annual Cost in 2024 Rent (2-bedroom apartment) $700 Salad (50 at $10 each) Movie tickets (10 at $12 each) Question: Calculate the 2024 CPI. Assume 2023 as the base year. Enter your answer, in the box below, as a whole number (e.g. if your answer is 1.05, enter 105. If your answer is -1.05, enter -105). DO NOT include any $ sign, commas or other symbols. Flag question: Question 4 Question 4 5 pts Refer to the previous question. Calculate the inflation rate in 2024. Enter your answer in the box below. Multiply your answer by 100 if you haven't and round it (e.g. if your answer is 0.75, you need to enter 75). DO NOT include any symbols or decimals. Flag question: Question 5 Question 5 10 pts Suppose the following table shows the wages of American workers in real dollars. Hourly Real Wages Year Real Wage CPI 2021 $8.98 3.1 2022 $9.18 3.3 Question: Calculate the nominal wages and fill in the following boxes: In 2021, the nominal wage was In 2022, the nominal wage was Include two decimals but DO NOT round your answer up or down in the box above. (e.g., if your answer is $85.8873, enter 85.88). DO NOT include $ sign, commas or other symbols. Flag question: Question 6 Question 6 5 pts Refer to the following the graph. Nominal and inflation rate chart Question: The relationship between the nominal interest rate and the inflation rate is known as the ______________ effect. Enter your answer in the box below. Flag question: Question 7 Question 7 5 pts What are the drivers of productivity? Group of answer choices research and development, education and investment employment, spending and equity finance consumption, investment, government spending and trade education, capital markets and research and development Flag question: Question 8 Question 8 5 pts Compound interest plays a significant impact in economic growth. Question: A country that desires its GDP to double every 4.5 years must annually grow at _______ %. Enter your answer, in the box below, as a rounded whole number (e.g. if your answer is 10.5, enter 11. If your answer is -10.3, enter -10). DO NOT include any $ sign, commas or other symbols. Flag question: Question 9 Question 9 5 pts Refer to the graph below. Question: The U.S. has enjoyed significant growth in real GDP per capita and in real GDP per worker. The leading factor of such growth is ______________ Enter your answer in the box below. Flag question: Question 10 Question 10 5 pts Assume the working population is 120,000. 75,000 people are employed and 3,000 are unemployed. Question: Calculate the labor force participation rate. Enter your answer in the box below. Multiply your answer by 100 (e.g. if your answer is 0.60, you need to enter 60). DO NOT include any symbols or decimals. Flag question: Question 11 Question 11 5 pts Refer to the previous question. Calculate the unemployment rate. Enter your answer in the box below. Multiply your answer by 100 and without rounding (e.g. if your answer is 0.7563, you need to enter 75 instead of 75.63). DO NOT include any symbols. Flag question: Question 12 Question 12 5 pts Structural unemployment is: Group of answer choices the unemployment not measured in official statistics short-term unemployment because of fluctuations in supply and demand the unemployment that results in the lack of the requisite skills the unemployment that occurs in recessions Flag question: Question 13 Question 13 5 pts Assume the graph below represents the labor market of farm workers and it is in equilibrium. Supply and demand of labor markets If Congress enacts unfavorable immigration policies that impacts the farm workers, then Group of answer choices the supply curve shifts right and the real wage decreases the supply curve shifts left and the real wage rises the demand curve shifts right to reflect the rise in the real wage the supply curve remains constant in the short run and the real wage moves up along the curve Flag question: Question 14 Question 14 5 pts Suppose a country's GDP is $3,500, consumption is $1,750 and government spending is $800. Question: Calculate the national savings. Enter your answer in the box below as a whole number (e.g. if your answer is $80, only enter 80. If your answer is -$80, only enter -80). DO NOT include any $ sign, commas or other symbols. Flag question: Question 15 Question 15 5 pts Refer to the previous question. Suppose the government would like to run a balanced budget. How much should the government collect in taxes? Flag question: Question 16 Question 16 5 pts Refer to the graph below. saving, stock prices and house prices graph Household saving and real stock prices are Group of answer choices unrelated to each other positively related negatively correlated positively correlated Flag question: Question 17 Question 17 5 pts During a contractionary monetary policy, the Fed Group of answer choices increases money supply by selling government bonds decreases money supply by buying government bonds decreases money supply by selling government bonds increases money supply by buying government bonds Flag question: Question 18 Question 18 5 pts Suppose the Federal Reserve conducts a $20 million open-market purchase. Question: Calculate the money multiplier if the reserve ratio is 5 percent. Enter your answer in the box below as a whole number (e.g. if your answer is 80.21, only enter 80). DO NOT include any sign or other symbols. Flag question: Question 19 Question 19 5 pts Refer to the previous question. What is the largest potential increase in the money supply? Enter your answer in the box below as a whole number (e.g. if your answer is $80,000,000, only enter 80). DO NOT include decimals, $ sign, commas or other symbols. Flag question: Question 20 Question 20 5 pts Suppose the reserve ratio is 10 percent and the Federal Reserve needs to increase the money supply by $40 million. Question: How much money should the Fed inject in the economy? Enter your answer in the box below (e.g. if your answer is $2,000,000, only enter 2). DO NOT include $ sign, commas or other symbols. Flag question: Question 21 Question 21 5 pts Which of the following is correct concerning the FOMC? Group of answer choices all of the choices conducts monetary policy composed of 12 voting members directs purchases and sale of government bonds Flag question: Question 22 Question 22 5 pts Which of the following is NOT a job of the Federal Reserve? Group of answer choices Serving as the federal government's banker clearing checks Maintaining stable prices and full employment