{"id":12265,"date":"2022-04-12T16:59:00","date_gmt":"2022-04-12T16:59:00","guid":{"rendered":"https:\/\/courses.lumenlearning.com\/wm-macroeconomics\/?post_type=chapter&p=12265"},"modified":"2024-09-11T16:39:27","modified_gmt":"2024-09-11T16:39:27","slug":"module-7-assignment-problem-set-unemployment-and-inflation","status":"publish","type":"chapter","link":"https:\/\/courses.lumenlearning.com\/wm-macroeconomics\/chapter\/module-7-assignment-problem-set-unemployment-and-inflation\/","title":{"raw":"Module 7 Assignment: Problem Set \u2014 Unemployment and Inflation","rendered":"Module 7 Assignment: Problem Set \u2014 Unemployment and Inflation"},"content":{"raw":"You can click on the following link to download the problem set for this module:\u00a0Unemployment and Inflation Problem Set.<\/a>\r\n

Unemployment and Inflation Problem Set[1]<\/strong><\/a><\/sup><\/h2>\r\n

Use the following information to answer questions 1 through 4:<\/h3>\r\nConsider the following labor statistics for adult population (age 16 and older) in Japan displayed in the table below (all numbers in millions).\r\n\r\n\r\n\r\n\r\n\r\n\r\n
Employment Status<\/td>\r\nNumber of people (in millions)<\/td>\r\n<\/tr>\r\n
Employed<\/strong><\/td>\r\n130<\/strong><\/td>\r\n<\/tr>\r\n
Unemployed<\/strong><\/td>\r\n9<\/strong><\/td>\r\n<\/tr>\r\n
Not in Labor Force<\/strong><\/td>\r\n85<\/strong><\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\n
    \r\n \t
  1. Using the data above calculate Labor Force for Japan.<\/li>\r\n<\/ol>\r\n \r\n
      \r\n \t
    1. Using the data above calculate unemployment rate for Japan.<\/li>\r\n<\/ol>\r\n \r\n
        \r\n \t
      1. Using the data above calculate adult population for Japan.<\/li>\r\n<\/ol>\r\n \r\n
          \r\n \t
        1. Using the data above calculate labor force participation rate for Japan.<\/li>\r\n<\/ol>\r\n

          \u00a0 Use the following information to answer questions 5 through 12:<\/h3>\r\n

          Suppose that a typical market based in Japan consists of 200 Apples and 290 Textbooks.<\/p>\r\n

          The table below shows data on prices for Apples and Textbooks in Japan for three years.<\/p>\r\n\r\n\r\n\r\n\r\n\r\n\r\n\r\n
          Year<\/td>\r\nPrice of Apples<\/td>\r\nPrice of Textbooks<\/td>\r\n<\/tr>\r\n
          2014<\/td>\r\n$1.40<\/td>\r\n200<\/td>\r\n<\/tr>\r\n
          2015<\/td>\r\n$1.10<\/td>\r\n140<\/td>\r\n<\/tr>\r\n
          2016<\/td>\r\n$1.10<\/td>\r\n200<\/td>\r\n<\/tr>\r\n<\/tbody>\r\n<\/table>\r\nAssume that the base year is 2015.\r\n
            \r\n \t
          1. Given this data, what is the price of the basket in 2014?<\/li>\r\n<\/ol>\r\n \r\n
              \r\n \t
            1. What is the price of the basket in 2015?<\/li>\r\n<\/ol>\r\n \r\n
                \r\n \t
              1. What is the price of the basket in 2016?<\/li>\r\n<\/ol>\r\n \r\n
                  \r\n \t
                1. What is CPI in 2014?<\/li>\r\n<\/ol>\r\n \r\n
                    \r\n \t
                  1. What is CPI in 2015?<\/li>\r\n<\/ol>\r\n \r\n
                      \r\n \t
                    1. What is CPI in 2016?<\/li>\r\n<\/ol>\r\n \r\n
                        \r\n \t
                      1. What is the inflation rate between 2014 and 2015?<\/li>\r\n<\/ol>\r\n \r\n
                          \r\n \t
                        1. What is the inflation rate between 2015 and 2016?<\/li>\r\n<\/ol>\r\n \r\n
                            \r\n \t
                          1. Suppose that the nominal interest rate in Japan is 10.4%. In addition, the inflation rate is equal to 4.2%.<\/li>\r\n<\/ol>\r\n

                            Given this information, what is the real interest rate in Japan?<\/p>\r\n \r\n

                              \r\n \t
                            1. Suppose that a typical doctor earned $41,000 in 1978. In addition, you know that in 1990 a typical doctor earns $76,000. Finally, you also know that the CPI in 1978 is 210 and in 1990 is 230.<\/li>\r\n<\/ol>\r\n

                              Given this information, a doctor's 1978 salary in 1990 dollars is $__________.<\/p>\r\n \r\n

                                \r\n \t
                              1. Suppose that a typical professor earned $28,000 in 1978. In addition, you know that in 1998 a typical professor earns $93,000. Finally, you also know that CPI in 1978 is 90 and in 1998 is 250.<\/li>\r\n<\/ol>\r\n

                                Given this information, the salary of a typical professor in 1998 relative to 1978 is (select one):<\/p>\r\n\r\n

                                  \r\n \t
                                1. higher<\/li>\r\n \t
                                2. lower<\/li>\r\n<\/ol>\r\n
                                  \r\n\r\n \r\n\r\n
                                  \r\n\r\n[1]<\/a> This assignment by Lumen Learning is licensed under a Creative Commons Attribution 4.0 International License. You can access an alternative means to plotting points at https:\/\/www.desmos.com\/calculator<\/a>.\r\n\r\n<\/div>","rendered":"

                                  You can click on the following link to download the problem set for this module:\u00a0Unemployment and Inflation Problem Set.<\/a><\/p>\n

                                  Unemployment and Inflation Problem Set[1]<\/strong><\/a><\/sup><\/h2>\n

                                  Use the following information to answer questions 1 through 4:<\/h3>\n

                                  Consider the following labor statistics for adult population (age 16 and older) in Japan displayed in the table below (all numbers in millions).<\/p>\n\n\n\n\n\n\n
                                  Employment Status<\/td>\nNumber of people (in millions)<\/td>\n<\/tr>\n
                                  Employed<\/strong><\/td>\n130<\/strong><\/td>\n<\/tr>\n
                                  Unemployed<\/strong><\/td>\n9<\/strong><\/td>\n<\/tr>\n
                                  Not in Labor Force<\/strong><\/td>\n85<\/strong><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
                                    \n
                                  1. Using the data above calculate Labor Force for Japan.<\/li>\n<\/ol>\n

                                     <\/p>\n

                                      \n
                                    1. Using the data above calculate unemployment rate for Japan.<\/li>\n<\/ol>\n

                                       <\/p>\n

                                        \n
                                      1. Using the data above calculate adult population for Japan.<\/li>\n<\/ol>\n

                                         <\/p>\n

                                          \n
                                        1. Using the data above calculate labor force participation rate for Japan.<\/li>\n<\/ol>\n

                                          \u00a0 Use the following information to answer questions 5 through 12:<\/h3>\n

                                          Suppose that a typical market based in Japan consists of 200 Apples and 290 Textbooks.<\/p>\n

                                          The table below shows data on prices for Apples and Textbooks in Japan for three years.<\/p>\n\n\n\n\n\n\n
                                          Year<\/td>\nPrice of Apples<\/td>\nPrice of Textbooks<\/td>\n<\/tr>\n
                                          2014<\/td>\n$1.40<\/td>\n200<\/td>\n<\/tr>\n
                                          2015<\/td>\n$1.10<\/td>\n140<\/td>\n<\/tr>\n
                                          2016<\/td>\n$1.10<\/td>\n200<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

                                          Assume that the base year is 2015.<\/p>\n

                                            \n
                                          1. Given this data, what is the price of the basket in 2014?<\/li>\n<\/ol>\n

                                             <\/p>\n

                                              \n
                                            1. What is the price of the basket in 2015?<\/li>\n<\/ol>\n

                                               <\/p>\n

                                                \n
                                              1. What is the price of the basket in 2016?<\/li>\n<\/ol>\n

                                                 <\/p>\n

                                                  \n
                                                1. What is CPI in 2014?<\/li>\n<\/ol>\n

                                                   <\/p>\n

                                                    \n
                                                  1. What is CPI in 2015?<\/li>\n<\/ol>\n

                                                     <\/p>\n

                                                      \n
                                                    1. What is CPI in 2016?<\/li>\n<\/ol>\n

                                                       <\/p>\n

                                                        \n
                                                      1. What is the inflation rate between 2014 and 2015?<\/li>\n<\/ol>\n

                                                         <\/p>\n

                                                          \n
                                                        1. What is the inflation rate between 2015 and 2016?<\/li>\n<\/ol>\n

                                                           <\/p>\n

                                                            \n
                                                          1. Suppose that the nominal interest rate in Japan is 10.4%. In addition, the inflation rate is equal to 4.2%.<\/li>\n<\/ol>\n

                                                            Given this information, what is the real interest rate in Japan?<\/p>\n

                                                             <\/p>\n

                                                              \n
                                                            1. Suppose that a typical doctor earned $41,000 in 1978. In addition, you know that in 1990 a typical doctor earns $76,000. Finally, you also know that the CPI in 1978 is 210 and in 1990 is 230.<\/li>\n<\/ol>\n

                                                              Given this information, a doctor’s 1978 salary in 1990 dollars is $__________.<\/p>\n

                                                               <\/p>\n

                                                                \n
                                                              1. Suppose that a typical professor earned $28,000 in 1978. In addition, you know that in 1998 a typical professor earns $93,000. Finally, you also know that CPI in 1978 is 90 and in 1998 is 250.<\/li>\n<\/ol>\n

                                                                Given this information, the salary of a typical professor in 1998 relative to 1978 is (select one):<\/p>\n

                                                                  \n
                                                                1. higher<\/li>\n
                                                                2. lower<\/li>\n<\/ol>\n
                                                                  \n

                                                                   <\/p>\n

                                                                  \n

                                                                  [1]<\/a> This assignment by Lumen Learning is licensed under a Creative Commons Attribution 4.0 International License. You can access an alternative means to plotting points at https:\/\/www.desmos.com\/calculator<\/a>.<\/p>\n<\/div>\n\n\t\t\t

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                                                                  Candela Citations<\/h3>\n\t\t\t\t\t
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