4. (Similar to Chapter 12, Problem 47A) Assume that the following table represents the economy of the country of Colman. Given a labour force that remained a constant 150 million, calculate the unemployment and inflation rates for each of the years 2015 – 2020. Year Price Index Inflation Unemployment Unemployment Rate (%) (in millions) Rate (%) 2015 100 2016 105 16 2017 108.5 17.75 2018 114.2 12 2019 123.4 9.6 2020 139.6 6.4

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Equilibrium Price and Quantity

Equilibrium refers to a state of balance that comes about because there is equality in all forces.