Transcript 2 P

ECONOMICS-GROUP A
1.MIDTERM
• SECTION A (22 P)
• Fill in the gaps with the most appropriate word or phrases.
• Monopoly is an industry composed of only one firm that
produces a product for which there are no close
____substitutes__________________ and in which significant
_____barriers_____ exist to prevent new firms from entering
the industry. (2 P)
• The ___kinked demand curve_____model is a model of
oligopoly in which the following assumption has been made:
Competitive firms will follow if a single firm cuts price but will
not follow if a single firm raises price.(3 P)
• The ____short run marginal cost_______ curve of a
competitive firm is the part of its marginal cost curve that lies
above its average variable cost curve. (2 P)
• The ___short run____ is a period of time for which two
conditions hold:
• The firm is operating under a _fixed scale____ of
production, and
• firms can neither enter nor exit the industry. (2 P)
• The negative slope of the production possibility
frontier curve reflects the law of _increasing
opportunity costs__________________. As we
increase the production of one good, we sacrifice
progressively more of the other. ( 3 P)
• A ___price ceiling___ is a maximum price that sellers
may charge for a good, usually set by government.(2 P)
• __shortage___, is the condition that exists when
quantity demanded exceeds quantity supplied at the
current price.(2 P)
• __complements______ are goods that “go together”(e.g
toothpaste and toothbrush); a decrease in the price of one results
in an increase in demand for the other, and vice versa.(2 P)
• ___Positive______ economics is an approach to economics that
seeks to understand behaviour and the operation of systems
without making judgements
• e.g If tax is imposed on tobacco, the price of the cigarettes will
rise (2 P)
• To isolate the impact of one single factor, we use the
device of ____ceteris paribus____________, or all else
equal e.g If gasoline prices rise by 10 percent, how much
less driving will there be, assuming no simultaneous
change in the income, population, laws and all other
remain constant (2 P)
• SECTION B ( 24 P)
• Choose the right answer from 5 multiple choices
for each question
• Which of the below given properties has/have
been concerned with an oligopoly?
• Price leadership
• Legal restrictions(limitations)
• Predatory pricing
• a)I
b)II
c)III
d) I and III
e)II and III
• Answer: d
• 2. Which of the statements given below is false
for a perfect competition?
• a) Resources have been allocated efficiently
• b) Products are either homogenous or
differentiated
• c) The demand is more elastic than the demand
faced by a monopolistic competitor
• d) There are lots of small firms which do not have
control over price
• e) New firms may enter the market and existing
firms may leave the industry
• Answer: b
• 3. For which of the given products or services
would you expect the lowest income elasticity
of demand?
• a) Diamond
• b)Furniture
• c) Cosmetics
• d) Drug
• e) Fly ticket
• Answer: d
• 4.Which of the reasons listed below can not be
considered for increasing returns to scale?
• a) Specialization
• b) Learning and experience
• c) Decreasing ratio of inventories to the whole
production
• d) The rise in capital costs is lower than the
increase in the production capacity
• e) Communication and management failure due
to expanding hierarchy
• Answer: e
5. Which of the statements is/are false
according to the graph drawn above?
I. At the production level of Q3 and at a price
level of P2 ,G is the shut down point
II. At a price level of P3 , D is the profit
maximization point
III. At a price level of P3 , the firm makes less
profit at the production level of Q1 than that
when operating at Q2
I
b)II
c)III
d)I and II
e)I,II and III
6. Which of the statements is/are false
according to the graph drawn above?
I.At a price level of P3, E is the break even
point
II. AFC at the production level of Q4 is smaller
than AFC at the production quantity of Q2
III.The firm makes operating loss at a
production level of Q3, when price is P2
I
b)II
c)III
d) I and II
e)II and III
5. D
6. C
• 7. Which of the statements given below is/are
correct?
• I.Short run marginal costs= Long run average
costs= Price
• II. The optimal scale of the plant in the long run
is where MR=MC
• III. Accounting profits are driven to zero in the
long run
• a)I
b)II
c) III
d)I and II
e)II and III
• Answer: A
• Assume that there are two goods a consumer can buy. The total
utility function of these two goods are given :
• TUA= 600 QA -12 QA2
• TUB= 800 QB – 8 QB2
• The monthly income of the consumer is 220 TL, the prices of the
goods are: PA= 6 TL and PB=4 TL
• Calculate the max. total utility at the optimum combination of A
and B that the consumer will get ? (First find out what the
quantities of A and B for the max. satisfaction are!) (8 P)
• If there is a fall in the price of the good A from 6 TL to 3 TL,(the
price of B will not change) what would be the marginal utility for A
and B? (6 P)
• If the marginal utility of money MUTL = 64 for 1 TL, PA= 3 TL and PB=
4 TL, how much can the consumer save (4 P) and what will be his
total utility? (4 P)
• 2.For a firm operating in an automobile industry the
total product function is given as:
• TP= 12 L2 – L3 – 2L. There are 50 machines operating in
the production of the spare parts. The rental cost per
machine is 100 TL/day. The wage paid to one employee
is 30 TL/day. Unit material costs are calculated 10
TL/day per spare part produced.
• The supply and demand functions for the perfectly
competitive market are:
• QD= 7000 – 50 P
• QS= ─ 3000 + 30 P
• Assuming that the firm is operating at a quantity of
production where its AVC is minimum.
• Calculate the profit while operating at min. AVC (8 P)
• Calculate the AVC at the minimum MC (6 P)
• Calculate consumer surplus and producer surplus by
drawing a graph (10 P)
• Calculate the point price elasticity of demand at the
equilibrium point ( 6 P)
• Calculate economies of scale and AC (average total
costs), when the firm decides to operate with 75
machines in the long run ( % change in capital units= %
change in labor units) ( 8 P)
• AVC=Average variable cost
TP=Total product
• ATC=average total cost
• MC=Marginal cost
• L=Labor unit
1.MIDTERM-GROUP B
• SECTION A(22 P)
• Fill in the gaps with the most appropriate word or phrases.
• 1.In a perfect competition, price is determined by the interaction of
market _supply______ and ___demand________. (2 P)
• 2. The__long run____ is a period of time for which there are no
___fixed factors__________ of production. Firms can increase or
decrease scale of operation, and new firms can enter and existing
firms can exit the industry.( 2 P)
• 3. The law of ____diminishing marginal returns________ states
that: When additional units of a variable input are added to fixed
inputs, the marginal product of the variable input declines. ( 3 P)
• 4. Increasing returns to scale, refers to an increase in a firm’s scale
of production, which leads to lower ___average costs__________
per unit produced. (2 P)
• 5. Charging different prices to different buyers is called ____price
discrimination____.(2 P)
• 6. __Product differentiation_______ is a strategy used in a
monopolistic competition and accomplished by producing products
that have distinct positive identities in consumers’ minds in order
to achieve market power. This action is often carried out through
____advertising__________ and provision of
___trademarking______________ . ( 3 P)
• 7. A ___price floor____________ is a minimum price below which
exchange is not permitted.(2 P)
• 8. __Rationing coupons_____________ are tickets that entitle
individuals to purchase a certain amount of a given product per
month. ( 2 P)
• 9. ___Surplus________, is the condition that exists when quantity
supplied exceeds quantity demanded at the current price.(2 P)
• 10. ___Substitutes________ are goods that can serve as
replacements for one another(e.g tea and coffee) ; when the price
of one increases , demand for the other __increases_____.(2 P)
• SECTION B ( 28 P)
• Choose the right answer from 5 multiple choices
for each question
• 1.For which of the below given production
factors , the payments that are made are given
correctly
• I. Land- Interest
• II. Labor- Rent
• III. Enterpreneurship-Profit
• I
b)II
c)III
d) I and III
e)II and III
• Answer: c
• 2. Suppose that there is a decrease in demand and an
increase in supply for a product and the increase in
supply is much greater than the decrease in demand,
how will the price and the quantity of the good change
at the equilibrium point?
• a) The price will fall down and the quantity will
increase
• b) The price remains constant and the quantity will
decrease.
• c) The price will rise and the quantity will decrease.
• d) Both the price and the quantity will increase
• e) The price will increase and the quantity remains
constant.
• Answer:a
3. The graph drawn above shows
the production costs of a perfectly
competitive firm in a short run.If
the price level is P2 , at which
quantity of production does the
firm make maximum operating
profit?
a) Q0
b)Q1
c)Q2
d)Q3
e)Q4
Answer:c
• 4. A household’s decision about the quantity
of a particular output to demand does not
depend on:
• a)The price of the product in question.
• b)The income available to the household.
• c) The household’s amount of accumulated
wealth.
• d) The prices of the inputs
• e) Consumer preferences
• Answer: d
• 5. Which of the statements is correct for a
monopoly compared to a perfectly
competitive market?
• I. The demand is more elastic
• II. P>MR
• III. Resources have not been allocated
efficiently
• I b)II c)III d) I and II e) II and III
• Answer:e
• 6. Which of the factors given below has not
been regarded as a property of a monopolistic
competition?
• a) Quality competition
• b) Government franchises
• c) Product differentiation
• d) Price discrimination
• e) A lot of small firms
• Answer: b
• 7. Which of the goods described below does
have the lowest price elasticity of demand
(most inelastic) ?
• a) PC
• b) Car
• c) Tomato
• d) Salt
• e) Apartment(flat)
• Answer: d
• SECTION C(60 p)
• Given the total revenue and total cost function for a
monopoly as:
• TR= 1000 Q – 24 Q2 ; TC= 3200 + 1000 Q – 72 Q2 + 2 Q3
• Calculate QC and PC (equilibrium points for a perfect
competition) (4 P)
• Calculate QM and PM (equilibrium points for a monopoly) (4
P)
• Calculate producer surplus for a monopoly (6 P)
• Calculate deadweight (welfare) loss for a monopoly (8 P)
• Calculate the point price elasticity of demand at QM and PM
(4 P)
• Calculate the profit of the monopolist at the quantity
where its AVC(average variable cost) is minimum (4 P)
• Calculate the shut down point for the monopolist (4 P)
• Tom has a monthly income of 1200 TL. Assume that, Tom can
only buy two products A and B in the market.
• PA=100 TL ; PB=200 TL. The total utility Tom will get by
consuming these products is given below:
QA
0
1
2
3
4
5
6
7
8
9
10
11
12
TUA
0
2000
3900
5700
7400
9000
10500
11900
13200
14400
15500
16500
17400
MUA
MUA/PA
QB
0
1
2
3
4
5
6
7
8
9
10
11
12
TUB
0
4000
7500
10500
13000
15000
16500
17500
18000
18000
17500
16500
15000
MUB
MUB/PB
• a)What will be the max. total utility Tom will gain when
he spends all of his money ( 6 P)
• b) Assume now Tom’s income has become 2300 TL and
the price of A has risen to 120 TL and the price of good B
has fallen to 180 TL(PA=120 TL ;PB=180 TL). If the
marginal utility of money MUTL=10 , how much can Tom
save? ( 8 P) ,what could be his max. total utility( 2 P)
• c)Assumption: Tom’s income=1200 TL , PA=120 TL ;
PB=180 TL .Tom will spend all of his money. Calculate the
price elasticity of demand based on averages for good B
by taking the quantities of B in question a and c into
consideration( What is the change in quantity of B in
question c compared to question a (10 P)
1.midterm-extra
• SECTION A(20 P)
• Fill in the gaps with the most appropriate word or phrases.
• 1. The __kinked demand curve_____model is a model of oligopoly in
which the following assumption has been made: Competitive firms will
follow if a single firm cuts price but will not follow if a single firm raises
price.(3 P)
• 2. The__ long run_____ is a period of time for which there are no fixed
factors of production. Firms can increase or decrease scale of
operation, and new firms can enter and existing firms can exit the
industry.( 2 P)
• 3. The law of __diminishing marginal returns_____ states that: When
additional units of a variable input are added to fixed inputs, the
marginal product of the variable input declines. ( 3 P)
• 4. To isolate the impact of one single factor, we use the device of
___ceteris paribus______, or all else equal e.g If gasoline prices
rise by 10 percent, how much less driving will there be, assuming
no simultaneous change in the income, population, laws and all
other remain constant (2 P)
• 5. __Normative____ economics is an approach to economics that
seeks to understand behaviour and the operation of systems by
making judgements
• e.g Tax should be imposed on tobacco in order to stop smoking (2
P)
• 6. A ___price floor____ is a minimum price below which exchange
is not permitted.(2 P)
• 7. ___Rationing coupons______ are tickets that entitle individuals
to purchase a certain amount of a given product per month. ( 2 P)
• 8. ___Shortage________, is the condition that
exists when quantity demanded exceeds
quantity supplied at the current price.(2 P)
• 9. __Substitutes____ are goods that can serve
as replacements for one another(e.g tea and
coffee) ; when the price of one increases ,
demand for the other __increases________.(2
P)
• SECTION B ( 22 P)
• Choose the right answer from 5 multiple choices
for each question
• 1.For which of the below given production
factors , the payments that are made are given
correctly
• I. Land- Rent
• II. Capital- Profit
• III. Labor-Wage
• I
b)II
c)III
d) I and III
e)I, II and III
• Answer: d
2. The graph drawn above shows the production costs of a
perfectly competitive firm in a short run.If the price level is P3 ,
at which quantity of production does the firm have maximum
average fixed costs? (4 p)
a) Q0
b)Q1
c)Q2
d)Q3
e)Q4
Answer: a
• (4 p)3. A household’s decision about the
quantity of a particular output to demand
does depend on:
• I-The price of the inputs
• II- The household’s amount of accumulated
wealth.
• III- Technological advance
• a)I
b)II
c)III
d) I and II
e)II and III
• Answer: b
• 5. Which of the factors given below has been regarded as a
property of a monopolistic competition?
• (2 right answers) (6 p)
• I.Full knowledge of product and price
• II.Government franchises
• III. Price leadership
• IV.Price discrimination
• V. Predatory pricing
• VI. Homogenous product
• VII. A few dominant firms
• VIII. Efficient allocation of resources
• IX. Quality competition
• Answer: IV and IX
• SECTION C(68 p)
• In an automobile industry, there is a single firm(company X) producing
motor bikes,
• Number of machines operating: 55
• Rental cost per machine : 3725 TL
• Break even point , QB = 25
• Shut down point, QSH = 80
• Q=67,5 where AVC is minimum
• Given the total revenue and total variable cost function for a monopoly
as:
•
• TR= 22500 Q – 209 Q2 ; TVC= C Q – B Q2 +A Q3
• The total product function TP= 18 L – L2 (L= Number of labor units)
• The number of motor bikes produced per employee(AP) = 15
•
•
•
•
•
Calculate A, B and C (12 P)
Calculate the maximum profit of the monopolist (8 P)
Calculate producer surplus for a monopoly (8 P)
Calculate deadweight (welfare) loss for a monopoly (10 P)
Calculate the operating profit/loss where the point price elasticity of
demand EP= - 0,8 (8 P)
• Assume now a new firm (company Y) has entered the market
operating at a quantity where its AVC is minimum and AVC=3375 TL
and having a total product function TP= 8 𝐿2 − 𝐿3 .(L=labor units)
with a total fixed cost of 184.000 TL, what would be its profit margin(
𝜋
× 100) when he used the same TR function as the firm X. (6 P)
𝑇𝐶
• Calculate the economies of scale (4P) and AC(average cost) in the
long run (6 P)when the firm X decides to operate with 110 machines(
% change in capital units= % change in labor units)
• Calculate the mid-point price elasticity of demand for the firm
X(based on averages) using the data in question g (6 P)
2.midterm-section A(26 p)
• Three of the major concerns of macroeconomics are: ___economic
growth_________, ____inflation______ and __unemployment______
(3 p)
• ___Hyperinflation_________ means a period of very rapid
increases in the overall price level.(2 p)
• There are three kinds of policy that the government has used to
influence the macroeconomy:
• ___fiscal policy________ , ___monetary policy___________ and
_________supply side chain_________ policies(3 p)
• ___Gross national product_____ is the total market value of all final
goods and services produced within a given period by factors of
production owned by a country’s citizens, regardless of where the
output is produced. (2 p)
• ___Depreciation_______ is the amount by which an asset’s value falls
in a given period.(1 p)
• The use of fixed-price weights to estimate real GDP leads to problems
because it ignores: ____structural changes_______ in the economy
;____supply shifts_________, which cause large decreases in price
and the___substitution effect_____________ of price increases. (3 p)
• ___Gross national income____________ is the GNP converted
into dollars using an average of currency exchange rates over
several years adjusted for rates of inflation. It is used to make
_____international comparison________ of output. (2 p)
• The ___consumer price index__________________ is a measuring
tool used for the calculation of price changes and computed each
month by the Bureau of Labor Statistics using a bundle that is
meant to represent the “market basket” purchased monthly by the
typical urban consumer.(3 p)
• ____Required reserve ratio_______ is the percentage of its total
deposits that a bank must keep as reserves at the Federal Reserve.
(3p)
• _____Open market operations________ is a tool used to expand or
contract the amount of reserves in the system (purchase and sale of
government’s securities ) and thus the __money
multiplier_____.(2 p)
• If Government spendings exceeds Taxes , the government must
borrow from the public to finance the ___deficit______. It does so
by selling __treasury bonds_______.(2 p)
• SECTION B (25 P)
• Which of the statements given below is true? (3 p)
a)Planned injections mean savings plus taxes
b)Private savings is the sum of investments and net
export(Export –import)
c) Stagnation is a period of persistent unemployment
d)A recession is a period during which aggregate output
will rise
e) The balanced budget multiplier is one measure of the
overall price level
Answer: c
• What are the types of unemployment that
exist only at the level of full employment? (3
p)
I.Cyclical unemployment
II. Frictional unemployment
III. Structural unemployment
• I
b)II
c) III
d) I and III
e) II and III
• Answer: e
• Which of the policy mixes given below may cause an
increase in the real GDP definitely?(4 p)
I. Expansionary fiscal policy + expansionary monetary
policy
II. Expansionary fiscal policy + contractionary monetary
policy
III. Contractionary fiscal policy +contractionary monetary
policy
IV. Contractionary fiscal policy + expansionary monetary
policy
a) I
b) III
c) I and II
d) II
and IV
e) I and III
Answer: a
• 4. According to the Quantity theory brought
about by classical economists, (4 p)
• I. The overall price level will increase when the
velocity of money is decreased
• II. The real GDP will increase when the money
supply is reduced
• III. The overall price level will fall down when
money supply is reduced
• I
b)II
c)III
d) I and II
e)II and III
• Answer: c
• 5.Which of the given actions may cause an
increase in the national savings? (4 p)
• I. Decrease in the imports
• II. Increase in government spendings
• III. Fall in the interest rate
• I
b)II
c)III
d) I and III
e) II and III
• Answer: d
• 6. Which of the given actions may lead to an
inflation? (4 p)
• I. Increase in taxes
• II. Increase in the velocity of money
• III. Decrease in the rate of unemployment
• I
b)II
c)III
d)I and II
e)II and III
• Answer:e
• 7. Which of the statements given below is false? (3 p)
• a) One of the cental bank’s functions is to provide funds for
the banks in trouble
• b) Crowding out effect may appear if an increase in gross
domestic investments leads to a decrease in government
spendings
• c) If the money multiplier has been increased, the amount
of total deposits created in the economy will increase
• d) According to Keynes, it is not prices and wages that
determine the level of employment, as classical models had
suggested, but instead the level of aggregate demand for
goods and services.
• e) A prolonged deep recession is called depression.
• Answer: b
•
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•
•
•
•
•
•
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•
•
•
•
•
The consumption function is given C= 80 + 0,6 Yd
Investment(I)= 140 billions TL
Government spendings(G)= 90 billions TL
Export(X)= 100 billions TL
Marginal propensity to import(m) = 0,24
Tax rate(t) = 0,3
Calculate the real GDP(aggregate output=YE) at the equilibrium (6 p)
Calculate government spendings multiplier (kG=? ) (3 p)
How much more must the government spend in order to reach an
aggregate output of 550 billions TL at full employment (3 p)
Write the saving function ( 2 p)
Calculate the leakage at the equilibrium (3 p)
Calculate APC(average propensity to consume) at the equilibrium (3 p)
There is budget ______________ because taxes are ___________ than
government spendings (2 p)
There is foreign trade _______________ because exports are
______________ than imports (2 p)
What must be the reduction in the tax rate (%) so that the GDP at full
employment YF= 550 billions TL can be achieved (6 p)
• Answer the questions using the table below
• Calculate the inflation rate(monthly) in April 2008 (3 p)
• Calculate the inflation rate in 2009 ( 3 p)
• The economists want to estimate the money supply in near
future. Therefore, they need to calculate the required reserve
ratio of the central bank in future. The current required
reserve ratio is 8%. The experts predict an annual growth rate
of 6% in the economy. They also claim that the annual inflation
rate from 2006 until 2012 will be equal to the change in the
overall price level during the following years. The velocity of
money(V) they will presume will be increasing by 10%
• Calculate the current money multiplier(MD) (2 p)
• Calculate the annual inflation rate from 2006 until 2012 (4 p)
• Calculate the change in money supply(Ms) in % ( 5 p)
• Calculate the new required reserve ratio ( 2 p)
2.midterm-group B
• SECTION A (25 p)
• There are three reasons for demanding for money:
___transaction____ motive, ___speculation_______ motive
and __precaution_____ motive. (3 p)
• Money is anything that is generally accepted as a medium of
exchange . Its properties can be described as 1) __store of
value___ which means an asset that can be used to transport
purchasing power from one time period to another , 2)
___liquidity_ which shows that it is portable and readily
accepted and easily exchanged for goods , 3) __unit of
account__ that provides a consistent way of quoting
prices.(3 p)
• __Cyclical _______ unemployment is the increase in
unemployment that occurs during recessions and
depressions.(2 p)
• Limitations to the GDP are : 1)If society is better off, a
decrease in __crime_____ is not reflected in GDP, 2) An
increase in __leisure____ is an increase in social welfare
but it is not counted in GDP ; 3)____household________
activities are not counted in GDP; 4)
____underground_economy___ in which transactions
take place and in which income is generated that is
unreported and therefore not counted in GDP. (4 p)
• Overall price increases can be sensitive to the choice of the base
year. For this reason, using ____fixed price weights____ to
compute real GDP has some problems. (3 p)
• __Dividends_______ are the portion of a corporation’s profits
that the firm pays out each period to its shareholders.(2 p)
• __Value added____ is the difference between the value of
goods as they leave a stage of production and the cost of the
goods as they entered that stage. (2 p)
• A __recession______, is the period in the business cycle from a
peak down to a trough, during which output and employment
fall.(2 p)
• ___Gross domestic product____is the total market value of all
final goods and services produced within a given period by
factors of production located within a country.(2 p)
• ___Stagflation______ occurs when the overall price level rises
rapidly during periods of recession or high and persistent
unemployment . (2 p)
SECTION B(24 p)
1. Which of the following unemployment types do
belong to the concept of natural unemployment? (4
P)
I. Frictional unemployment
II. Structural unemployment
III. Cyclical unemployment
• a)I b)II
c)III
d)I and II e) II and III
Answer: d
• 2. Which of the following actions may cause
crowding out effect? (4 p)
• I. Expansionary fiscal policy
• II. Contractionary monetary policy
• III.The policy mix of expansionary fiscal and
contractionary monetary policy
a)I b)II c)III d) I and II e)I and III
• Answer: e
• 3. According to Keynesian theory, the real GDP
rises when there is an increase in
• I. Velocity of money
• II. Supply of money
• III. Overall price level
a)I
b)II
c)III
d) I and II
e)II and III
• Answer: b
• 4. Which of the actions given below may lead
to a deflation?(4 P)
• I. Rise in the private savings by contractionary
fiscal policy
• II. Fall in the level of unemployment
• III. Increase in the required reserve ratio
• I
b)II
c)III
d)I and III
e)I,II and III
• Answer: d
• 5.Which of the given actions may cause an
increase in the planned injections? (4 P)
• a) Decrease in the money supply
• b) Increase in capital and labor costs
• c) Contractionary fiscal policy
• d) Increase in the interest rate
• e) Decrease in the demand for money
• Answer: e
• 6. Which of the statements given below is false? (4 p)
• a) Shares of stock include Social Security benefits,
veterans’ benefits, and welfare payments.
• b) Leakage means the sum of savings and taxes
• c) If the discount rate of the loan given by the central
bank is reduced, the nominal GDP will increase
• d) Rise in the disposable personal income means rise in
both personal consumption and savings.
• e)In order to decrease the money supply government
must sell treasury bonds.
• Answer: a
SECTION C(51 p)
YEAR
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
POPULATION
66.006.300
66.878.921
67.728.487
68.579.547
69.422.260
70.243.123
71.081.800
71.893.565
72.587.360
73.946.573
NOMINAL GDP(X106 TL)
70.203
104.596
166.658
240.224
350.476
454.781
559.033
648.932
758.391
843.178
950.534
952.559
1.098.799
1.294.893
$/TL PARITY
1,52
1,491
1,432
1,347
1,44
1,3
1,281
1,544
1,502
1,677
REAL GDP(X106 TL)
70.203
67.841
72.436
68.309
72.520
76.338
83.486
90.500
96.738
101.255
101.922
97.003
105.886
114.874
1.What is the GNI per capita in $ for the year 2010? (4 p)
2.What is the growth rate (%) in 2007? (4 p)
3.Calculate the annual growth rate from 2004 until 2008 (4 p)
4.What is the inflation rate in 2005? (6 p)
5.For the year 2011, the overall price level of Turkey= 57 ; the overall price level of
Denmark= 147. What must be the monthly income of a citizen in Denmark in TL, when he
earns 5000 TL salary in Turkey and wants to have the same living standards as in Turkey,
when GNI per capita of Denmark = 41.920 $ in 2011 (6 p)
GDP
Corporate profits
indirect taxes
Dividends
Personal Income taxes
Transfer payments
Payments of factor income to the rest of the world
Depreciation
Social insurance payments
Subsidies
Receipts of factor income from the rest of the world
Billions TL
360
100
110
140
120
200
80
70
90
50
120
6-Calculate Gross National Product(GNP) (4 p)
7-Calculate Net National Product( NNP) (2 p)
8-Calculate National Income (NI) (4 p)
9-Calculate personal income(PI) (4 p)
10-Calculate personal disposable income (Yd) (2 p)
-If the consumption function is C= a + b Yd ; average propensity to consume(APC)= 0,9
10
and investment multiplier (𝑘𝐼 = 3 )
11-Calculate a and b ( 6 p)
12-What must be the increase/decrease in government spendings to increase the
aggregate output (Y) by 68 billions TL using the balanced budget multiplier (5 p)