Economic growth rate =

Nominal GDP for the year 2017 =

(2*200)+(6*400)

Nominal GDP for the year 2018=

(4*250)+(8*450)

-
Real GDP=
(2*250)+(6*450)
1

for 2017 :

242001=400 4001-2400
= 2800
6 ( 4001=2400
for 2018 :

412507=1000 1000-13600 =

814501--3600 4600

In price from 2019

, , Quantity 2018
2. (2508-161450)
 Y=C+I+G+X-M
2-
-

= 250+325+1425+100
= 2100
-112
Gtc

A
-0
- ¥0
•
"
G+c+It( ✗ m )
-11425+3251-(100-0)=2100
-
☐
✗

250
 Commodity Substitution Bias:
The market basket of goods used
in calculating the CPI is fixed
and does not take into account
substitutions away
from goods whose relative
prices increase.

÷
The answer is D, consumers
decrease the quantity they buy
of goods whose relative prices
rise and increase the quantity of

AM s÷÷÷ijY
goods whose relative prices
.

= falls.

{
✓
- •
rent

compansiuutioin } 239+1735+37+128+259+194+333
±
{
-

profit
-
coropraxe = 2925
tax
indirect
pecprat.im
{
 The answer is B
Real GDP= C+G+I+(X-M)
= 89000+26000+48000+(151000- 128000)
=186000

It is time spent between jobs when a worker is

searching for a job or transferring from one job
to another.
The answer B

Natural unemployment rate is frictional

unemployment+ → structural unemployment
3+1=4
The answer is B

-
 population -
-

265£
working 200-6

-
I
- not working =

labor force
employee
-

unemployment
rate 133-9-126.7 :

m;:Y;÷ iii. ✗ 100--54 "

Labor force = who looking for
m work
r unemployed +
employed =
40+2= 42
The answer is C
-

am
-

°
, U2
-
→

2014 213

Real GDP per person growth rate in 2014

-
-②R"en=asY -1%-24*0×100
1.864%
Real GDP per person 2013=

÷
( )=5.96
in 2014=-1202×100
200 Real GDP per person 2014=
( )=6.01

From
[
The growth rate per person: -

paso
 CPI2012= (10*30)+(20*1) = 320
CPI2013= (8*50)+(15*3)= 445

139.06
-

I 0
2012
Fff
101301=300
2041--20
✗
CPI 2012=3200
22013
81501=400
15031--45 =yy③

CPI -445
-320×100
-

"
4453-32,20-+100=39.06
inflation Rate
 1)

Nominal GDP for the year 2014 =

(12*250) + (9*450) = 7050
0 Nominal GDP for the year 2015=
+ -

(15*300) + (12*500) = 10500

- -
Nominal 2014
121250) -1914501=7050 2)
Nominal 2015
Real GDP 2015 (2014 as a base) =
Is (30031-12000)=10500 (12*300) + (9*500) = 8100

2.015 Redl

121300)
-1915001=8100
A) Structural unemployment is
unemployment created by
changes in technology and
foreign competition that change
the skills needed to perform jobs
or the locations of jobs.
Structural unemployment lasts
longer than frictional
unemployment. It is due to gap
between demand & supply.

b) potential GDP is the value of

the real GDP when all

and entrepreneurial abilities are

fully employed.

c) business cycle is a periodic

but irregular up and down
movement of total production
and other measures of economic
activities.