Exam 19: Global Economic Activity and Industry Analysis

Assume the inflation rate in 2016 is 1.3 percent.If the nominal GDP grew 3.5 percent and nominal wages grew 2.6 percent,what are the approximate real growth rates of GDP and wages?

You invest $150,000 in Germany when the exchange rate is $1.25/€.Your investment gains 10%,and you subsequently exchange the euros back into dollars at a rate of $1.20/€.What is your total percentage return on this investment?

You are planning to invest $150,000 in Hong Kong.If your Hong Kong investment gains 7.5 percent while the exchange rate moves from 7.75 Hong Kong dollars (HK$)per U.S.dollar to 7.70 per dollar over the period,what is your total return on this investment?

The CPI for this year was reported as 164.9,If inflation was 1.25 percent,what must the CPI have been last year?

Which of the following is not listed as a cause of increased integration of economies around the world?

If the number of Euros required to buy $1 (USD)increases then the Euro has ________ versus the U.S.dollar.

Which one of the following is not one of the elements in the industry life cycle?

As a U.S.investor,you decide to invest $110,000 in Switzerland.You do so at a starting exchange rate of 1.093 SwFr/$.Your Swiss investment gains 7 percent,and the ending exchange rate is 1.091SwFr/$.What is your total return on this investment?

You invest $75,000 in Germany when the exchange rate is $1.25/€.Your investment gains 10%,and you subsequently exchange the euros back into dollars at a rate of $1.30/€.What is your total percentage return on this investment?

"PIGS" refers to which 4 countries in Europe?

Assume there are 475 million people in the United States,175 million of which make up the labor force.If 16 million are unemployed,what is the unemployment rate?

Assume that the Federal Reserve injects $5 billion into the financial system.If the reserve requirement is 25 percent,what is the maximum increase in money supply (in billions)?

If wages grew 3.15 percent in 2013,but inflation was 2.75 percent,what was the approximate real increase in wages?

Which of the following is NOT one of the four stages of the business cycle?

If the nominal GDP was reported at $122.3 billion and real GDP was reported at $120.1 billion,what was the inflation rate for the period?

If the nominal GDP was reported at $1,305.80 billion and inflation was 2.5%,what is the level of real GDP for the period?

Which of the following is NOT considered a leading economic indicator?

Which of the following reflects the dollar value of economic output in terms of the current year?

Which sector has a high sensitivity to the business cycle?

Assume that the Federal Reserve injects $2.8 billion into the financial system.If the reserve requirement is 14 percent,what is the maximum increase in money supply (in billions)?