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- (a) Calculate each of the following for Year 2. Show your work. (i) Real GIDP per capita for Arturia (il) Real GDP per capita for Ringberg (b) If Arturia and Ringberg have the same velocity of money in Year 2, which nation must have the higher money supply in Year 2? Explain (c) Calculate each of the following in Year 2. Show your work. (i) The inflation rate in Arturia (il) The inflation rate in Ringberg (d) Based on your answer to part (c), if the nominal interest rate is the same for both nations in Year 2, which nation experiences the higher real interest rate in Year 2? Explain. (e) Ringberg produces consumer goods and capital goods. While maintaining full employment, Ringberg decides to allocate more resources to the production of consumer goods. What will be the effect on the long-run economic growth rate in Ringberg? Explain. esc C 1 の1. Below is the list of internal factors in macroeconomy except a. Inflation rate b. Gross domestic product c. Interest rate d. Exchange rate 2. Following is a monetary variable except a. Interest rate b. Money supply c. Exxhange rate d. Gross Domestic Product 3. Money demand and money supply can influence which item in the income statement. a. Interest expenses b. Expenditure c. Gross profit d. Net income 4. Inflation can cause bribery. Bribery will increase a. Cost of doing business b. Unemployment c. Wastage d. Productivity 5. Inflation can influence the following except a. Tax b. Interest expenses c. Advertisement cost d. Cost of good sold1. Supposeyouhave$200,000inabanktermaccount.Youearn5%interestper annum from this account.You anticipate that the inflation rate will be 4% during the year. However, the actual inflation rate for the year is 6%.Calculate the impact of inflation on the bank term deposit you have and examine the effects of inflation in your city of residence with attention to food and accommodation expenses.2. TheAustralianBureauofStatistics(ABS)reportedinMay2017thatthecivilian population in Australia over 15 years of age was 20.8 million.Of this population of 20.8 million Australians, 13.5 million were employed and 0.7 million were unemployed.Calculate Australia’s labor force and the number of people in the civilian population who were not in the labor force? Also, with examples examine the causes of structural unemployment in Australia.
- 2. Suppose that an economy starts with a net foreign asset to GDP ratio (NFA/Y) equal to -30%. After one year, the rel interest rate (difference between the nominal interest rate and the inflation rate) has been -10%. What will the NFA/Y ratio become after this year due to this effect? Give your answer with two decimal places. THE ABOVE INFORMATION WAS ALL THAT WAS GIVEN. Please show work and highlight answer.1. a) Is the following graph about the "Purchasing Power of the Diminishing Dollar" misleading? Why or why not? GELİNAARADICS ANKAPILA 1998-ESENHOWR$1.00 WERNER FALT THE END OF AMERICA ELEMEN 5-% JUVE SANA 1993-MINNE94 THE EMERS Purchasing Power of the Diminishing Dollar 1968-JOHNSON 1973-MXON M 1978-CARTER A b) Provide a time-series graph that accurately reflects the data: [(1978- Carter, $0.44), (1973- Nixon, $0.64), (1968- Johnson, $0.83), (1963- Kennedy, $0.96), (1958-Eisenhower, $1.00).15. When an SME’s functional currency is the currency of a hyperinflationary economy, a. all amounts in the financial statements shall be stated in terms of the measuring unit current at the end of the reporting period. b. some amounts in the financial statements shall be stated in terms of the measuring unit current at the end of the reporting period. c. all amounts for monetary assets and liabilities in the financial statements shall be restated using the general price index, rather than the specific price index. d. none of these. The PFRS for SMEs does not address this matter.
- 1. When interest rate increases, demand for equity Select one: a. Does not change b. Increase c. Decreases d. None of the above 2. Which macroeconomic fundamentals can influence the stability on the value of currency? a. Balamce of payment b. Exchange rate c. Inflation rate d. Gross domestic product 3. When interest rate increases, what hapoens to exchange rate? a. Decreases b. None of the above c. Does not change d. Increase 4. 1 Sales - cost of good sold = Select one: a. Retained income b. Gross profit c. Operaring cost d. Gross income 5. The financial stability of a country can be seen in a. Inflation b. Balamce of payment c. Gross domestic product d. Exchange rateN6 How could Venezuela's inflationary problem be resolved once and for all? Consider and remark on the the following solutions, considering what they involve and how effective they might be. a. A full official dollarization b. Adoption of BitCoin or nother crypto currency such as the Petrolo. c. Legislation mandating a balanced budget approved by the Congress and signed into law by the President.1.All would indicate that hyperinflation exists, except a. The general population regards monetary amounts in terms of relatively stable foreign currency. b. The cumulative inflation rate over three years is approaching or exceeds 100%. c. Inflation rates have exceeded interest rates in three successive years. d. The general population prefers to keep its wealth in nonmonetary assets. 2. Purchasing power gain or loss results from a. Monetary asset only b. Monetary liability only c. Both monetary asset and monetary liability d. Nonmonetary assets and nonmonetary liability 3. During a period of deflation, an entity would have the greatest gain in general purchasing power by holding a. Cash b. Property, plant, and equipment c. Finance lease liability d. Mortgage payable
- 8. If nominal national income increased by 20% over a certain period of time while real national income increased by 10%, then a. b. C d. e everybody in the economy became worse off inflation has decreased during this time period. the labour force increased by 10% the price level has declined by about 10%. the price level has increased by approximately 10%. Show Transcribed Text 9. Suppose Canada's exchange rate with the U.S. dollar falls from 1.21 to 1.13. This fall indicates a(n) Canadian dollars to of the Canadian dollar, which means it takes purchase one U.S. dollar. a appreciation; more b. appreciation, fewer c. depreciation, more d. depreciation; fewerWhat is the impact of the fall in Canadian interest rates? a. an appreciation of the dollar and smaller net exports b. a depreciation of the dollar and greater net exports c. an appreciation of the dollar and greater net exports d. a depreciation of the dollar and smaller net exportsSoru 31. (2.5 puan) Which one is not a cost of inflation? A Uncertainty B Redistribution с Menu costs D Trade surplus Soru 32. (2.5 puan) Which one might be an example of divisibility of money? A Paper money is portable. B Gold does not rust. с 1 US Dollar can be broken down to 100 cents. D There are security threads and watermarks on paper money. Soru 33. (2.5 puan) Which one is not correct for indifference curves? A The indifference curves can intersect at one point. B An indifference curve shows all combinations of X and Y that give a particular level of utility. The further out the indifference curve, the higher the level of utility D An indifference curve shows diminishing marginal rate of substitution.