1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
sergejj [24]
3 years ago
7

Suppose that the natural rate of unemployment in a particular year is 4 percent and the actual rate of unemployment is 7 percent

. instructions: enter your answers as whole numbers.
a. use okun's law to determine the size of the gdp gap in percentage-point terms.

b. if the potential gdp is $500 billion in that year, how much output is being forgone because of cyclical unemployment?
Business
2 answers:
uranmaximum [27]3 years ago
4 0

WHY ARE YOU ASKING ABOUT UNEMPLOYMENT? ARE YOU SELF AWARE YOU DON'T HAVE A JOB JOOOOOHN? HMPH SO SLOW FOR MAKING UNEMPLOYMENT INTO THE WIND OF RETURDED NESS

koban [17]3 years ago
4 0

Answer:

a. The GDP gap is: 6%

b. The forgone output is: $30 billion

Explanation:

GDP (gross domestic product) is the output produced within a country in a given time period. Okun's law establishes an inverse empirical relationship between unemployment and losses in productivity of a country. In terms of output, Okun's law states that for every percentage increase in cyclical unemployment, a country's potential output is lowered by 2%. Cyclical unemployment is the difference between the natural unemployment rate and the actual unemployment rate.

In this scenario, the natural rate of unemployment is 4% and the actual rate is 7%. Therefore, unemployment due to business cycle fluctuations is: 3% . Since the output gap is double the percentage increase in unemployment, the output or GDP gap is 6%. The dollar amount of the GDP gap given the $500 billion potential GDP is (0.06 * 500) = $30 billion

You might be interested in
A business becoming incorporated is an example of risk ____.
kap26 [50]

<span>A business becoming incorporated is an example of risk management.</span>

When a business becomes incorporated it is trying to protect the assets of the company. By assessing and making a risk management decision to become incorporated they are protecting themselves and the company as a whole. 

7 0
3 years ago
Which excerpt from fast food nation best illustrates the authors use of the rhetorical appeal logos? her familys modest townhous
Furkat [3]
The correct answer is - E<span>nglish is now the second language of at least one-sixth of the nations restaurant workers, and about one-third of that group speaks no English at all. 
Logos is a rhetorical appeal that authors use in order to persuade people to believe them. Logos is based on logic, on facts, or proof, and there is proof to support this claim about English, whereas the other sentences aren't really there to prove anything.
</span>
5 0
3 years ago
Read 2 more answers
"Which one of the following items requires an adjustment on the bank side of the bank reconciliation?
ale4655 [162]

Answer:

Deposits in transit

Explanation:

A company's deposit in transit is the currency and customers' checks that have been received and are rightfully reported as cash on the date received, and the amount will not appear on the company's bank statement until a later date. A deposit in transit is also known as an outstanding deposit.

When there is a deposit in transit, the amount should be listed on the company's bank reconciliation as an addition to the balance per bank.

5 0
3 years ago
Paul just received his bank statement in the mail. The ending balance on the account shows that he has $385.22 available. Howeve
irinina [24]
The difference is $210.84 in Pending transactions.
6 0
3 years ago
A registered representative (RR) recommends an AAA-rated municipal general obligation bond for the investment account of one of
Marat540 [252]

Answer:

not good and inappropriate for this type of client.

Explanation:

AAA-rated municipal bonds generally yield very low interest rates and if this client is very young (only 25 years old), doesn't have a lot of money, and has an aggressive growth objective, he/she should invest in more riskier securities that can possibly yield higher returns, e.g. stock market. This client needs higher returns, and investing in low risk and low return securities will not be suitable for him/her. This type of investment is best for retired people that actually have accumulated a large capital.

6 0
3 years ago
Other questions:
  • If average product is increasing, then marginal product Select one: a. must be greater than average product. b. must be less tha
    13·1 answer
  • The principle of _____ says that if we are in a position to ease the agony of another and we can do so without excessive cost to
    12·1 answer
  • Managers in a home improvement company have been having problems with employees starting cliques. To develop more of a team cult
    8·1 answer
  • A stock's price fluctuations are approximately normally distributed with a mean of $104.50 and a standard deviation of $23.62. Y
    15·1 answer
  • Inventory records for Dunbar Incorporated revealed the following:Date Transaction Number of units Unit CostApr. 1 Beginning inve
    12·1 answer
  • Suppose that the Dallas School District wants to achieve Six Sigma quality levels of performance in delivering students to schoo
    11·1 answer
  • If getting a college degree is not possible, which of the following would be next best option for starting a career in fashion d
    12·2 answers
  • Diego, age 28, married Dolores, age 27, in 2018. Their salaries for the year amounted to $47,230 and they had interest income of
    8·1 answer
  • Jeanie acquires an apartment building in 2008 for $280,000 and sells it for $480,000 in 2019. At the time of sale there is $60,0
    9·1 answer
  • What states have the highest percent of their credit economy with prime credit scores?.
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!