Please correct answer and don't use hand raiting A firm agreed to pay its workers $27 an hour in 2016 and $46 an hour in 2017. The price level for these years was 241 in 2016 and 245 in 2017.Calculate the real wage rate in each year (to the nearest cent).What is the real wage increase received by these workers in 2017?>>> Answer to 2 decimal places.The real wage rate in 2016 was $The real wage rate in 2017 wasThe change in the real wage rate between 2016 and 2017 isdollars.>>> Answer to 2 decimal places.>>> If your answer is negative, include a minus sign. If your answer is positive, do not include a plus sign.

The problem involves calculating the real wage rate for 2016 and 2017, then determining the real…

Answered: A firm agreed to pay its workers $27 an…

MACROECONOMICS

14th Edition

ISBN:9781337794985

Author:Baumol

Publisher:Baumol

Chapter6: How Statisticians Measure Inflation

Section6.A: How Statisticians Measure Inflation

Problem 5TY

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A country with a population of eight million adults has five million employed, 500,000 unemployed, and the rest 0f the adult population is out of the labor force. Whats the unemployment rate? What share of population is in the labor force? Sketch a pie chart that divides the adult population into these three groups.
Describe a situation, either a government policy situation, an economic problem, or a private sector situation, where using the GDP deflator to convert from nominal to real would be more appropriate than using the CPI.
Assess whether the following would be counted as unemployed in the Current Employment Statistics survey. A husband willingly stays home with children while his wife works. A manufacturing worker whose factory just closed down. A college student doing an unpaid summer internship. A retiree. Someone who has been out of work for two years but keeps looking for a job. Someone who has been out of work for two months but isnt looking for a job. Someone who hates her present job and is actively looking for another one. Someone who decides to take a part time job because she could not find a full time position.
Please calculate CPI and inflation using the following basket of goods (round outlays [for calculations] and all other answers to the second decimal place when necessary) Goods Average Qty Avg. Price 2021 Clothing 15 $200 Cell Phone Plan 11 $75 Housing 10 $1,250 Milk 30 $3 Streaming Services 22 $19 Vehicle Payments 10 $450 BASE YEAR OUTLAY = $14,000.00 2020 CPI = 147 What is the 2021 CPI? What was the inflation rate from 2020 to 2021?
The local gas station agreed to pay its workers $6 an hour in 2018 and $9 an hour in 2019. The GDP price index was 252 in 2018 and 257 in 2019. Calculate the real wage rate in each year. Did these workers really get a pay raise between 2018 and 2019? >>> Answer to 2 decimal places. The real wage rate in 2018 was $ ___ . The real wage rate in 2019 was $ ____ .
Give typing answer with explanation and conclusion Consider an economy where the average citizen consumes only two goods, 400 cups of coffee at $3 each and 200 brownies at $4 each in 2019. Assume this is the consumption basket used for calculating the CPI. In 2020, the price of one of the goods decreases by $1, while the price of the other good increases by $2. Assume 2019 is the base year. Based on this information, there are two possible inflation rates. What are these possible inflation rates?
The table below lists hypothetical CPI and wage values for the United States from different decades. a. Complete the table by computing the real income for each year shown in the table. Instructions: Round your answers to two decimal places. Nominal and Real Income Year 1967 1977 1987 1997 2007 2013 Average Nominal Wage (dollars) $6,825 13,203 25, 232 35,855 48,321 50,667 CPI 32.2 58.6 110.4 155.3 200 226.6 Average Real Wage (dollars) $ Instructions: Enter the year using all four numbers (yyyy). b. Of the years listed above, the paycheck of the average worker was highest in [ c. Of the years listed above, the purchasing power of the average worker was highest in
Congratulations! Your boss has given you a raise. However, you want to know whether your purchasing power has increased, since inflation is also rising. The table below gives you data for wages and the Consumer Price Index (CPI) for the last two years. Wage ($/day) CPI Year 1 $ 2000 CPI 120 Year 2 $2200 CPI 129.6 The nominal percentage increase in your wage is enter your response here%. (Round your answer to one decimal place.) Part 2 The real percentage increase in your wage is enter your response here%. (Round your answer to one decimal place.)
Suppose Billy started working at a graphic design firm in 2014 at a nominal wage of $16 per hour. In that year, the CPI was 172. Billy was guaranteed a cost of living adjustment of $2 every two years. His nominal wage will increase $2/hour every two years. Fill in the table to show the change in his real wage. Round to two decimal places.
#Question 2 explain with deatils 2. A dozen (12) eggs cost $0.90 in January 1980 and $2.50 in January 2020. The average wage for production workers was $7.50 per hour in January 1980 and $21.50 in January 2020. a) Calculate the price index for a dozen eggs in both years, using 1980 as the base year. Hint: Assume the “basket” only includes a dozen eggs. b) Calculate the inflation rate for eggs between 1980 and 2020. c) Calculate the price index for the average wage for production workers in both years, using 1980 as the base year. Hint: Assume the “basket” only includes the average wage. d) Calculate the inflation rate for the average wage between 1980 and 2020. e) For each year, how many minutes did a worker have to work to earn enough money to buy a dozen eggs? f) Based on your previous calculations, did the purchasing power of workers increase or decrease in 2020 (with respect to 1980)? Explain your answer.
16. Assess whether the following would be counted as "unemployed" in the Current Employment Statistics survey. A. A husband willingly stays home with children while his wife works. B. A manufacturing worker whose factory just closed down. C. A college student doing an unpaid summer internship. D. A retiree. E. Someone who has been out of work for two years but keeps looking for a job. F. Someone who has been out of work for two months but isn't looking for a job. G. Someone who hates her present job and is actively looking for another one. H. Someone who decides to take a part time job because she could not find a full time position.
The table below lists hypothetical CPI and wage values for the United States from different decades. a. Complete the table by computing the real income for each year shown in the table. Instructions: Round your answers to 2 decimal places. Nominal and Real Income Average Nominal Wage (dollars) Year CPI Average Real Wage (dollars) 1967 $7,077 33.4 1977 13,579 60.6 1987 26,055 113.6 1997 37,177 160.5 2007 49,698 207.3 2013 52,322 233 Instructions: Enter the year using all four numbers (yyyy). b. Of the years listed above, the paycheck of the average worker was highest in c. Of the years listed above, the purchasing power of the average worker was highest in

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