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Is the cpi a biased measure of the inflation rate

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Reference no: EM131649480

Assignment: PRODUCTION, UNEMPLOYMENT, AND INFLATION

Submit a 4- to 5-page paper that addresses the following questions. Be sure to use references within the paper to support your answers.

Why is there unemployment even when the economy is at "full employment"? What are some "costs of unemployment"?

Is the CPI a biased measure of the inflation rate? Explain your answer.

Explain how some government tax revenue and spending can depend on the state of the economy.

Explain some limitations of using GDP as an indicator of standard of living (be sure to do some research on your own to find any alternative measures).

Assignment Expectations

Use information from the modular background readings as well as any good quality resource you can find. Make sure you cite all resources you use and provide a reference list at the end of your paper.

Length: 4-5 typed and double-spaced pages.

In addition to the overall quality, depth, grammar, and organization of the paper, the following will, in particular, be assessed:

The level of your understanding of the key concepts of the major macroeconomic indicators.

Some in-text references to modular background readings (APA formatting encouraged).

Reference no: EM131649480

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