Please solve all questions below
Year 2010 Year 2011 Year 2012 Price Quantity Price Quantity Price Quantity Chips $4 100 $4 110 $5 80 Dips $5 50 $4 40 $3 50 Sodas $3 50 $5 60 $5 70 Question 1. GDP [10 Points in Total] a. (3 points) Compute nominal GDP in 2010, 2011, and 2012. [Show your computation work] b. (3 points) Compute real GDP in 2010, 2011, and 2012 (base year method). [Show your computation work] c. (2 points) Compute GDP deflator in 2010, 2011, and 2012. [Show your computation work] d. (2 points) Compute growth rates of nominal GDP and real GDP from 2010 to 2011 and from 2011 to 2012. [Show your computation work] Question 2. Inflation [7 Points in Total] a. (3 points) Compute cost of CPI basket in 2010, 2011, and 2012. [Show your computation work] b. (2 points) Compute CPI in 2010, 2011, and 2012. [Show your computation work] c. (2 point) Compute inflation rates (based on CPI) from 2010 to 2011 and from 2011 to 2012. [Show your computation work] Question 3. Business Cycle [3 Points in Total] a. (2 points) Based on your answers on Question 1 and 2 above, did Aggieland experience an expansion or a recession from 2010 to 2011? How about from 2011 to 2012? Was it at peak or trough or neither in year 2011? b. (1 point) From 2010 to 2011, did Aggieland experience an inflation or deflation? How about from 2011 to 2012?Question # 3 This is about Hypothesis Proportion Confidence Interval (Level of confidence) Saint Francis Hospital in Mott Haven believes the percentage of residents in the neighborhood who have Healthcare insurance is 60%. The General Manager for the Emergency Room believes this number is to be different. He said, he conducts his own survey of 200 people and found that 100 people respondent yes to owning Health insurance Questions? 1) State the Null and Alternative Hypothesis?Question 27 (1 point) On September 1, 2013, Mankato Manufacturing paid $3,600 for a one year insurance policy that will be in effect from Sept. 1, 2013 through August 31, 2014. What entry should Mankato Manufacturing make on September 1, 2013? O debit insurance expense $3600; credit cash $3600 O debit prepaid insurance $3600; credit cash $3600 O debit prepaid insurance $1200; credit insurance expense $1200 debit insurance expense $1200; credit prepaid insurance $1200QUESTION 4 Identify the statement that illustrates a criticism of supply-side economics. Supply-side economics focus mainly on eliminating the trade-off between interest rates and investment spending Supply-side economics exaggerates the effects of tax cuts Supply-side economics exaggerates the effects of fluctuations in the price level Supply-side economics ignores the effects of a change in a component of demand QUESTION 5 Keynesian economists believe that People react to expectations quickly Unemployment is costlier than inflation The economy's self-correcting mechanism moves efficiently and quickly The Phillips curve is relatively steepD Question 9 2 pts Many economists believe that O the corporate income tax satisfies the goal of horizontal equity. O the corporate income tax does not distort the incentives of customers. O the corporate income tax is more efficient than the personal income tax. O workers and customers bear much of the burden of the corporate income tax. Previous Next
