If the quantity of money grows at 3 percent per year, velocity does not grow, and real GDP grows at 2 percent per year, then the inflation rate equals
A) -1 percent. B) 1 percent. C) 6 percent. D) 5 percent. E) 12 percent.
B
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What would you pay for a newly issued 10-year bond with face value of $10,000 and no coupon payments? Assume the interest rate is 5 percent (0.05) per year
a. $0 b. $6,139.13 c. $10,000 d. $95,632.41 e. $100,000.00
Assume that between 1999 and 2009 nominal GDP increased from $7 trillion to $12 trillion and that the GDP deflator rose from 100 to 150 . Which of the following expresses GDP for 2009 in terms of 1999 prices?
a. $7.5 trillion b. $8.0 trillion c. $9.0 trillion d. $18.0 trillion
By 2030, the number of workers per Social Security beneficiary will be approximately
a. two. b. three. c. four. d. six.
In this graph, what is the difference between the marginal cost and the average total cost?
a. 0
b. $4.90
c. $6.00
d. $100