Hi there. I'm having trouble to solve this macroeconomics question. Please help me in this. Humbly requesting pls help.
10. The government recently increased its spending by $2 bilion and this ked to a $5 billion increase in equilibrium national icon. Using this information, calculate the marginal propensity to comune value. A. 3 B. 2.5 C 0.6 D. 0.4 11. In order to close an inflationary gap, the government has to comeder implementing fiscal policy to the current level of equilibrium national income A expansionary, reduce B. expansionary, increase contractionary, increase D. contractionry. reduce 12. If the unemployed becomes demotivated and stops searching for jobs. the working age population reduces the country's non-labor force increases the under-employed increases None of the above 13. The following table shows the unemployment rate for the different types of unemployment: Types of Rate unemployment Frictional 1.5% Cyclical Structum Calculate the country's natural rate of unemployment. A 1.5%% 4/9 B. 3.5% C. 6.6% D 8.1% 14 Matthew is a cartoonist that draws using his free hand. He is currently out of job because companies are boking for cartoonists who have the ability to use ADOBE Ihastrator software. In economics, Matthew is categorized under structural unemployment frictional unemployment regional unemployment D. cyclical unemployment ECO2105 (F) / Page 4 of S 15. Refer to the following table: Product Quantity Price in Price in Price in Price in Year 2012 Year 2013 Year 2014 Year 2015 $1,00/mmit $1.50/unit 50.80/unit $1 20 um 10 $5,00/unit $7.50unit $6.00 unit $8.00/um Note: Year 2013 is the base year. From the table above, we can conclude that A. the CPI for Year 2014 is 66.40 B. inflation happened in Year 2014 C. the costs of living in Year 2014 is 23.68% lower than the base year D. real income of the households dropped by 33.60%% in Year 2014 16. Assume that the CPIs for Year 5. 6 and 7 are 120, 110 and 104 respectively. These changes will improve the purchasing power of a fixed income earner reduce the real rental paid by the tenant signal the Central Bank to raise the interest rates reduce the price of petrol in the country17. Which of the following best illustrates the unit of account function of money? A. A baf of Gardenia bread costs RM2.50, B. You paid RM2.50 to get a loaf of Gardenia bread. C. After paying for a loaf of Gardenin bread, you saved up the balance. You have decided to save RM2 50 for tomorrow rather than buying the loaf of Gardenia bread. 18. Refer to the following babuve sheet of Bank ABC: Assel Liabilities Reserves $5,000 Deposits $10,000 Loans $5.000 If the required reserve ratio equals to 0.2, Bank ABC A has the capacity to create a credit of $3.000 has no more excess reserves needs $2,000 of additional reserves D. has to cut down its loans ECO2105 (F) / Page 5 of 8 19. Open market buying takes place when A the Central Bank buys government bonds from the banking institutions B. the government buys equipment for the offices from the private sector the banking institutions buy shares from the stock market the country is given freedom to import goods 20 Assuming that prices of various comumer goods increase in the country. This event wil and cause the interest rates in the money market to 6/9 A increase the supply of money; fall B. decrease the supply of money, rise increase the demand for money, fall D. increase the demand for money. riseInstructions: This section consists of TWENTY (20) questions. Answer ALL questions. 1. Which of the following topics i NOT the concem of a macroeconomat? A The additional budget spent by U.S. government to improve the country's economic growth. B. Higher corporate wix on the profits earned by glove manufacturers in Malaysia. C. The effects of higher inflation on the households in Indonesia, D. The impact of China's trade barriers on the net exports of Australia. 2. Compared to Year 2019, the nominal GDP in Country A dropped by 1076 in Year 2020. Which of the following statements is CORRECT? A. The employment in the country must have dropped by 10%. B. The production of final goods and services must have dropped by 10% in Year 2020. C. The real GDP must have dropped by 10%. D. None of the above. 3. Ahmad donated RM500 to an old folk's home. The manager of the old folk's home spent RM300 to purchase five second-hand fans and the remaining RM200 were used to purchase vegetables from the morning market. Which of the following transactions is recorded in the GDP of the country? A The donation given by Ahmad. B. The amount spent to purchase the second-hand fans. The amount spent to purchase the vegetables from the moming market. D All of the above. The value of final goods produced by a Malaysian working in the UK is exchaled from UK's GDP included in Malaysia's GNP included in UK's GNP D included in Malaysia's GDP ECO2105 (F) / Page 2 of 8 5. In a 3-sector economy, investment and government expenditures are both categorized A components of aggregate expenditures B. injections C. spending flows that generate income to the economy D All of the above 6. Consumption expenditures will definitely decrease when interest rates and income tax rates fall interest rates increase and income tax rates fall therest rates decrease and income tax rates increase interest rates and income tax rates increase 7. Identify the CORRECT combination of events from the following. Changes to the Cluinge In producers' Adjustments to wealth of households stock level national output Rise Unexpectedly increase Decrease B. Rise Unexpectedly decrease Increase Fall Unexpectedly increase Increase D. Fall Unexpectedly decrease Decrease 8. Refer to the following consumption function: C =$500 + 0.75 Yd Note Yd = disposable income Calculate the change in savings when disposable income increases from $125,000 to $130,000. A $20,000 $5,000 $3,750 $1.250
