The first panelist, Stephen Stanley, suggests the economy may be over‑heating, while the second, Bob Browne, maintains that the current rate of growth is the highest the economy will see for the foreseeable future. Indicate where in the business cycle Stanley and Browne conclude the economy is currently by placing the points SS (Stanley) and BB (Browne) on the graph. Real GDPTimeSSBB

You are going to compare and contrast the GDP of the United States to that of another country of your choice for the last 3 years. Your report in narrative format should address the following questions: Describe the current GDP growth rate of the two countries. Which component of the GDP of the two countries changed the most for the last 3 years? Identify the possible causes of the changes. Describe the biggest component of the GDP of the two countries.  What recommendations would you make in order to boost the GDP of the two countries?

An economy produces three products, bags, computers and shirts. The prices and quantities of these products in 2020 and 2021 are shown in the table below: 2020 2021 Price Price Quantity Quantity 300 $10 $12 330 Bags Computers $600 100 $650 110 Shirts $18 2,000 $20 2,200 2020 2021 Measure the nominal and real GDP for 2019 and 2020, using 2020 as the base year. Measure the nominal and real GDP growth rate in 2021. Which value is more accurate in measuring the growth rate of the economy? Explain. (b) The information on price and quantity of three products consumed by a typical household in the year 2020 and 2021 is given by the table below 2020 2021 Price Quantity Price 10 Quantity $5 $5.50 12 Fish Beef $10 5 $11 4 Train Ride $8 20 $9 22 Using 2020 as the base year, measure the CPI for 2021 and the inflation rate in 2021. Does this inflation rate correctly measure the cost of living changes for households in 2021? Explain.

The figure above shows the log of UK real GDP per capita between 1875 and 1914. Which of the following is correct? Log of Real GDP per capita 10,5 10,0 9,5 9,0 8,5 8,0 7,5 1875 1890 5061 1920 1935 1950 1965 1980 y=0,0156x +7,7734 R²=0,94451 1995 2010 O The growth of GDP in the 1950s was above the long-run average. O The growth of GDP in the 1880s was above the long-run average. In the figure the coefficient on x is 0.0156 and tells us the slope of the regression line (line of best fit). If, instead, this were 0.02 the line would be flatter. ● The slope of the blue line tells us the rate of growth of per capita GDP but can tell us nothing about the level.