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If so, is the income gap narrowing or widening? Prepare a three-page written report. Be sure to include a list of the references you used in your report.
Explain why greater life expectancies and declining birthrates make some entitlements like Social Security and Medicare more difficult to fund.
Suppose you were told that you would earn $95,000 in 2020. Explain why this information would say little about the standard of living you might enjoy.
Which of the factors affecting population growth will have the greatest impact on the United States in the next 50 years? Why?
Misery Index How might the psychological strains that many people feel during difficult economic times help prolong an economic downturn?
What would likely happen to the unemployment rate? The inflation rate? The poverty rate? Explain your answers.
Describe structural and technological unemployment and give an example of each. Why are these kinds of unemployment serious problems for an economy?
Discuss how econometric models describe the behavior of the economy. Explain the difference between the price level and the rate of inflation.
List three reasons why a person may become discouraged from finding a job. What factors make it difficult to determine the unemployment rate?
Why is structural unemployment a more difficult problem for the economy and for individual workers than other types of unemployment?
Explaining How do economists measure the economic cost of instability? Defining What is frictional unemployment?
Explain the significance of civilian labor force, unemployed, unemployment rate, frictional unemployment, structural unemployment and outsourcing.
Market Basket Construct a market basket of goods and services that high school students typically consume. Would it be a useful economic indicator?
Categorizing Information What kind of inflation might be described as too many dollars chasing too few goods? Why?
Understanding Cause and Effect In 2005 and 2006, the price of crude oil suddenly increased. What type of inflation might this development cause? Why?
Listing What are the main causes and consequences of inflation? The BIG Idea How can inflation destabilize a nation's economy?
Drawing Conclusions Which investments are the safest and which are the riskiest? Why would investors choose either of those investments? Explain.
Why an individual choose to borrow money from a finance company that charges higher interest rates rather than from a commercial bank with lower interest rates?
Identify the characteristics of Treasury notes, bonds, and bills. Describe how options contracts are different from futures contracts.
Explain what determines a bond's current yield. Explain how CDs can appear in multiple markets.
The BIG Idea How might the four basic investment considerations vary for people in different age groups? Write a paragraph explaining your answer.
Explain why equity markets are reasonably competitive. Explain how the NASDAQ differs from the NYSE.
Describe how financial assets are created in a free enterprise system. Explain the role of the major nondepository financial institutions in financial system.
Market Efficiency What does the Efficient Market Hypothesis mean to you as a potential investor as you investigate your future stock portfolio?
The BIG Idea How do the different measures of output and income allow us to assess the economy of a nation?