03 Jun Question Name ____________________________ last 4 PSU ID ____
Question
Name ____________________________ last 4 PSU ID _______
Please check section that you are registered in:
Section 002 – MWF 8:00 – 8:50 am: 102 Forum Building ________
Section 001 – MWF 1:25 – 2:15 pm: 101 Thomas Building ________
Fall 2014
Chuderewicz – YOU MUST HAND IN HW IN THE SECTION YOU ARE REGISTERED FOR – NO EXCEPTIONS
YOU MUST USE THIS AS A TEMPLATE THAT IS MAKE SPACE FOR YOUR ANSWERS BY HITTING ENTER (you certainly dont need to type this assignment) LEAVE
THE QUESTIONS AS THEY ARE AND PLEASE STAPLE! NOTEBOOK PAPER (OR
ANY PAPER) STAPLED TO THE BACK IS NOT ACCEPTABLE (GETS A ZERO).
ALSO, PLEASE PUT THE FIRST TWO LETTERS OF YOUR LAST NAME IN THE TOP
RIGHT HAND CORNER OF THIS PAGE SO THAT WE CAN ALPHABETIZE THESE EASILY. THANKS IN ADVANCE!
Economics 304
Homework #1 A ride into reality!
Due Wednesday, 9/10 at the beginning of class – no late papers accepted!
Instructions: Please show all work or points will be taken off. Good luck!
1. (60 points total 10 points each part) In this first homework assignment, we are getting our hands dirty to get familiar with some of the major macroeconomic variables
that we will be using and working with throughout the semester. Our first chapter with
something to sink our teeth into is chapter 3 and it is all about the factors of production,
the labor market, and of course, the production function. Major variables in this part of
the macroeconomy (i.e., the supply side of the economy) include, but certainly are not
limited to, employment (denoted N), real wages (denoted w = W/P where W = nominal
wage and P is the price index – typically the CPI) and real GDP (denoted Y). When we
move to chapter 4 we encounter many more major macroeconomic variables including
consumption (C), investment (I), and the real interest rate (denoted r), among others. We
are going to use FRED as our source of data (many professional economists use this site,
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