Maximum Raw Score = 40 pts 1) The Economy cannot be considered fully employed unless the measured unemployment rate is below 1%. Agree or disagree and explain your answer in a paragraph. 4pts2) A) Why would you expect the inflation rate to accelerate if the actual unemployment rate declined to a levellower than the “full employment” unemployment rate (NAIRU) and remained at that low level for a year or longer? Explain your answer in a few sentences. 4pts.B) Draw an AS/AD diagram illustrating your answer to part (A). Be sure to label all lines and axes in your diagram clearly. 4pts 3) A) Suppose Jean Splicer, an investor, buys $500,000 of shares of stock in a diversified bundle of Bio-tech firms and exactly one year later sells those shares for $530,000. Assume the value of the CPI at the date of Jean’s purchase was 190 and rose by the sale date one year later to 200 while the value of the GDP Deflator was 120 at the time of her purchase and rose to 125 by the date she sold her shares. What was Jeanâs real rate of return on this investment? 4ptsB) Explain why you used either the CPI data or the GDPD data in your answer to part A. (2 pts)4) A) Suppose that several months of data showed the CPI increasing at a 4 % annual rate due largely to increases in the price of energy and food related commodities following several years when the CPI only increased by 2.2 % per year. Suppose this increase causes investor expectations of annual inflation to also increase from 2.2% to 4%. Assume, at the same time that fears of higher inflation creates concerns that rising interest rates will derail the economic recovery and lead to another recession. Assume the resulting increase in risk aversion among investors drives the expected real rate of return required to equate investor demand to the existing supply of 1 year Treasury notes down to 0.2 % from .6%. What would you expect to happen to the nominal yields on 1-year T-notes during the period over which these changes in inflation expectations and required real yields occurred? (Give a numerical answer if possible) Explain your reasoning. 4 pts.B) Draw a supply/demand diagram of the US Treasury bond market to illustrate the effects on it of the developments cited in part A. (Note: you do not have to include the exact numerical price before and after the change in expectations.) Label your diagram clearly! 4pts. 5) Between October 2012 and Jan. 2013 measured RGDP in the economy increased by .1%. Over that same time period total employment in terms of hours worked increased by 2.2%, while the unemployment rate remained in the 7.8% – 7.9% range.What can you infer from this data about the rate of labor productivity growth in the US economy during this period? If possible give a numerical answer, but in any case explain your answer in a few sentences. 4 pts . 6) Suppose that the Federal Government announced a tax rebate of $500 for all individuals filing singly and $1000 for all families filing jointly or as head of household in the upcoming tax year. Further, suppose that the Government budget included a broad based reduction in Government spending on goods and services, whose total amount was equal to the total amount of the tax rebates. What would be the overall impact on AD of these policy changes or would the policy change effects completely cancel each other out?Explain your answer in detail. 6 pts.7) Assume that over the next month continuing growth of the recent ISIL insurgency in Syria and Iraq threatened to disrupt oil supplies from the middle east. Assume that as the insurgents continue to press closer to Iraqâs oil fields the price of a barrel of oil which was widely forecast before the insurgency strengthened to average around $90/barrel, instead rises to $120 and stays at that level for the rest of the year.Draw an AS/AD diagram which shows the effect on the US Macroeconomy of oil at $120 per barrel vs. $90 per barrel. Label you diagram clearly and explain why higher oil prices impact AS, AD or both. (Note you do not need to show exact numerical changes in RGDP or the GDP Deflatorâ¦.but your diagram must clearly show the direction of change in both of these that would result in the event of the much higher than forecast oil prices. 4pts
Important components of the psychiatric interview
Assignment Write a brief explanation (1 page) of three important components of the psychiatric interview and why you consider these elements important. Explain the psychometric properties of the rating scale you were assigned (Positive and negative symptom scale). Explain when it is appropriate to use this rating scale with clients during the psychiatric interview and […]
