What is the value of nominal gdp in 2010

Assignment Help Econometrics

Reference no: EM131302522

The following is data from 2010 for the tiny island nation of Papaya: money supply = 600 million; price level = 2.5; velocity of money = 4. Use the quantity theory of money to answer the following questions.

a. What is the value of real output (income) in 2010?

b. What is the value of nominal GDP in 2010?

c. If real output doubled, by how much would the money supply need to change?

d. If velocity is constant and Papaya was experiencing a recession in 2010, what impact would an easy money policy have on nominal GDP?

e. If the annual GDP growth rate is 8 percent in Papaya, by how much will the money supply need to change in 2011?

Reference no: EM131302522

Questions Cloud

World a portfolio of drinks brands : Selected Organizational Goal: Offering the world a portfolio of drinks brands that anticipate and satisfy people's desires and needs. Team: Research and development -New product and strengthen the product portfolio

What i really hope to see in the list is a variety of jobs : At the very end of the textbook reading for this module you read about the shortage of cybersecurity professionals, though the focus on that section is on cybersecurity jobs as part of IT. In my comments on this section, I noted that cybersecurity..

How do terms we use shape our beliefs : Is it fair to require hospital emergency departments to provide unreimbursed care? How do terms we use shape our beliefs? What does "quality of care" mean?

Which the application of the idea would be immoral : The idea of equal pay for equal work is generally accepted as morally sound. But are there situations in which the application of this idea would be immoral? Why or why not?

What is the value of nominal gdp in 2010 : The following is data from 2010 for the tiny island nation of Papaya: money supply = 600 million; price level = 2.5; velocity of money = 4. Use the quantity theory of money to answer the following questions.

What should be the current price per share of common stock : Motor Homes Inc. (MHI) is presently in a stage of abnormally high growth because of a surge in the demand for motor homes. The company expects earnings and dividends to grow at a rate or 20% for the next 4 years, after which time there will be no gro..

Draw the production possibility frontiers for each country : If a trade agreement was negotiated, at what rate (number of guns per unit of butter) would they agree to exchange?

Goods-production operations and service operations : What are the major differences between goods-production operations and service operations? What are the major differences between high-contact and low-contact service systems? What are the five major categories of operations planning? What are the ma..

What activities would you recommend to encourage consumers : What promotional activities would you recommend to encourage consumers who currently use independent installers to switch to Geek Squad?

User Account

All Pages