Please add the appropriate word or words to complete the sentences.

1.Inflation is a(n) in the general level of price. It may also be described as a(n) in purchasing power.

2.This means the value of money is related to inflation.

3.Economists use the Index as the primary measure of inflation.

4.This index looks at the average price of a market basket of goods and services purchased by the average urban

.

5.Economic data that are for price level changes are said to be expressed in terms.

6.The business cycle model is a(n) plot model that depicts the of GDP, after it has been adjusted for inflation, over a period of time.

7.There are two schedules in the model, the actual adjusted GDP in the run and the run trend of adjusted GDP.

8.The model reflects four periods or phases that create an arbitrary but pattern of hills and valleys.

9.The phase is a period in which RGDP is rising. The peak period is a temporary of RGDP.

10.The phase is a period of falling real gross domestic product. The trough is a temporary of RGDP.

Unemployment Question

The small country of Macroland has a population of 100,000 people over the age of 18 and under 65.There are 50,000 people under the age of 18, and 20,000 people over the age of 65. The number of people between ages of 18 and 65 that are looking for jobs is 20,000, and the number that have jobs is 50,000. Using this information, answer the following questions. Show your work.These are numbers for the month of January.

a. What is the labor force of Macroland for people between the ages of 18 and 65 in January?

b. What is the unemployment rate of Macroland for people between the ages of 18 and 65 in January?

c. What is the labor force participation rate of Macroland for people between the ages of 18 and 65 in January?

Now assume there were some changes in February. Of the people between the ages of 18 and 65 in Macroland, about 2000 who were looking for work now dropped out of the labor market, and stop looking for work. In addition, 8000 people who were previously unemployed in January got jobs in February. However, 3000 who had jobs in January lost their jobs, and all of them qualify for unemployment insurance and are looking for work. Using this information, answer the following questions. Show your work.

d. What is the labor force of Macroland for people between the ages of 18 and 65 in February?

e. What is the unemployment rate of Macroland for people between the ages of 18 and 65 in February?

f. How many discouraged workers are there in February?