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One aspect of the module focused on Okun's Law, which describes the relationship between Real GDP growth and the change in the unemployment rate:
Real GDP Growth = 3 - 2*Change in unemployment rate
This relationship applies to changes from year to year.
The average unemployment rate in the 12 months of 2019 was 3.7%.
Suppose the average unemployment rate during the 12 months of 2020 is 8.7%. What does Okun's Law imply will be the rate of Real GDP growth between 2019 and 2020? Explain your answer.
Discuss why marketers might change a positioning strategy over the course of a product/services life-cycle. Use a specific product or service to illustrate your argument.
The price of x1 is 3, the price of x2 is 2, and the income is 10. Mathematically derive this consumer's demand curve for good 1
The competitive rental rate of machines (capital) is the sum of forgone interest and depreciation costs the machine’s owner must pay for one period. In the case of machines that do not depreciate, the competitive rental rate of machines (capital) is..
GDP also consumption both rose by $8 billion in the second round, Illustrate what would have been the size of the multiplier.
Calculate Lola's utility maximizing bundle and her resulting utilitylevel if the government chooses to simply give her the money theywould have spent on the program (rather than subsidize housing).Given the two programs cost the same, which one is..
Identify the economic meaning of each of the choice pointsa) : A, B, C, D, and E.
At this price, find the price elasticity of demand. USE THE POINT SLOPE METHOD to find this elasticity. Hint: You'll have to find the quantity at this price.
The U.S Tobacco Settlement Agreement between the major tobacco companies and 46 states caused the price of cigarettes to jump 45 cents (21%) in November 1998. Levy and Marea (2006) find only 2.65% drop in prenatal smoking 15 months later. What is the..
If this tariff is imposed, how much will consumers pay for a pound of tea. What is the quantity demanded. Compute the decline in consumer surplus.
What is Klein's view of monopoly? What role, according to him, has the state played, if any in the creation of monopolies?
The following are hypothetical data for the U.S. balance of payments. Use the data to calculate each of the following:
Hedging: The Zinn Company plans to issue $12,000,000 of 20-year bonds I June to help finance a new research and development laboratory. Use this information to create a hedge against rising interest rates.
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