Exam 7: The Macroeconomy: Unemployment, Inflation, and Deflation

-Considering the data from the table shown above, assuming that the market basket cost of light bulbs and volleyballs in the base year was $4500, what would be the price index for the year 2015?

Suppose the actual inflation rate is less than the anticipated inflation rate. Given this information, we know with certainty that the real rate of interest

Unemployment statistics are often criticized for

The trough of a contraction is

Who stands to gain as a result of unanticipated inflation?

Suppose the population of El Campo is 120,000. Of the population 16 years and older, 50,000 are employed, 10,000 have never worked and are not looking for work, 5,000 are not working and are looking for work, and 15,000 are retired and not looking for work. The labor force equals

Individuals who have stopped looking for work because they are convinced that they will not find a job are considered

A business fluctuation when the pace of economic activity is slowing down is called

Unanticipated inflation benefits

Last year you purchased 20 shirts at $15 apiece, 30 CDs at $12 each, and 5 sweaters at $25 apiece. This year you buy 20 shirts at $20 apiece, 30 CDs at $12 apiece, and 5 sweaters at $20 a apiece. If last year's index was 100, this year's index is

Which of the following is a measure of general inflation that is NOT based on a fixed market basket of goods and services?

Frictional unemployment is

Increases in the duration of unemployment may

The GDP deflator is

The official dating of recessions is done by

An unexpected reduction in inflation would tend to benefit which of the following?

The value of an item expressed in purchasing power that varies with the overall price level is known as

-If 2010 is the base year in the table shown above, what is the price index for the year 2010?

-Refer to the above figure. Point C is known as

Debtors gain and creditors lose when