Macroeconomics Questions

There is a market for everything, and a market can be illustrated with a supply and demand model. In this context, what does VMP represent? Explain.

The Fed is currently engaging in quantitative tightening(QT), which is the opposite of QE. Explain how the effects of QT alter the yield curve for US Treasuries.

Which share is not sensitive to changes in the real interest rate?

Using the table below, calculate real GDP growth for the second quarter of 2022.

There is ongoing debate about what is the level of r, which is the neutral real federal funds rate. (The neutral rate is the level that does put either upside or downside pressure on the inflation rate.) Using the Taylor Rule, calculate r and the nominal federal funds rate. Based on your answer, was the decade of the 2010s typical or atypical?

The movie "Return of the Jedi" earned $264 million in 1983 when it was released. The CPI in 1983 was 97.8 and the CPI in 2012 was 226.665. Approximately how much did the movie earn in 2012 dollars?

Refer to Exhibit 6-1. Prices rose by __________ percent from Year 1 to Year 2.

A market basket is made up of three goods, 10X, 12Y, and 18Z. The prices in the base year are $1.20, $2.10, and $3.25, respectively. The prices in the current year are $1.44, $2.23, and $3.88. What is the approximate consumer price index in the current year?

Which of the following is considered an emerging market country?

Within GDP, about how much do companies contribute to the Investment category? More than 60%, between 40% and 60%, or less than 40%?

To understand how a change in government purchases affects real GDP in the short run, we need to focus on

Using the table below, calculate the annual inflation rate in 2022.

From December 2019 to April 2020 unemployment increased by approximately what percentage?

State one of the unconventional tools the Fed started to use to stimulate the economy during and after the GFC. Explain why the Fed needed to begin implementing unconventional tools.

The difference in the unemployment rates among young people in different countries is due to

Since 1980, has the US economy been generally experiencing: (1) expansionary gaps, (2) recessionary gaps, or (3) neither with periods of expansionary gaps approximately the same as recessionary gaps? Use your answer to explain the impact, in general, on the inflation rate since 1980.

Which of the following is the correct ordering if we want to rank the four spending shares of U.S. GDP in 2019 in descending (from highest to lowest) order?

Which of the following best explains why the Industrial Revolution began where it did?

Explain the impact on nominal GDP and on real GDP if velocity of money increases. In the explanation, compare the impact on nominal GDP to that of real GDP. Which one will likely change more or will the impact on both be the same?

If the Fed's actions cause a bank's reserves to increase, we know the bank will have an incentive to convert the new reserves into loans and bonds because