1. Suppose that real domestic output in an economy is 240 units, the quantity of inputs is 10, and the price of each input is $4. The level of productivity is
2. An economy is employing 1 units of capital, 5 units of raw materials, and 4 units of labor to produce its total output of 840 units. Each unit of capital costs $10; each unit of raw materials, $4; and each unit of labor, $3. The per-unit cost of production in this economy is
3. (Advanced analysis) Assume the following consumption schedule:C= 20 + 0.9Y, whereCis consumption andYis disposable income. At a(n) $800 level of disposable income, the level of saving is?
4. If the MPC is 0.8 and the equilibrium GDP is $20 billion below the full-employment GDP, then the size of the recessionary expenditure gap is?
5. If a $200 billion increase in investment spending creates $200 billion of new income in the first round of the multiplier process and $120 billion in the second round, the MPC in the economy is?
6. Suppose that real domestic output in an economy is 20 units, the quantity of inputs is 40, and the price of each input is $2. The per-unit cost of production in the economy described is?
7. If the nominal interest rate is 10 percent and the real interest rate is 3 percent, the inflation rate is?