Final ECON 203 - University of
Calgary with correct questions
and answers
usr
[COMPANY NAME] [Company address]
, 1. GDP Equation Answer: GDP (sometimes written as Y) = C + G + I + (NX)
2. Unemployment Rate Formula Answer: Unemployment Rate = (Number of Unemployed) /
(Labor Force) ×
100
3. Inflation Rate Calculation Answer: Inflation Rate = (Current CPI - Previous CPI) / (Previous
CPI) × 100
4. Aggregate Demand Curve Definition Answer: Shows all of the demand for finished
goods in an economy
5. Aggregate Supply Curve Defintion Answer: Shows all of the supply of finished goods in
an economy
6. Short-Run Equilibrium Answer: Short-Run Equilibrium Answer: AD = AS.
7. Long-Run Equilibrium Answer: Long-Run Equilibrium Answer: AS meets LRAS
8. Growth Rate Formula Answer: Growth Rate = (New GDP - Old GDP) / (Old GDP) × 100
9. What are some of the growth policies? (methods the central bank uses
to stimulate economic growth) Answer: Policies include investment in capital, technological
advancements, and education
10. Money Multiplier Concept Answer: Money Multiplier = 1 / (Reserve Ratio)
11. Reserve Ratio Definition Answer: The percentage or amount of reserves a bank holds
in its personal accounts
in relation to the amount that is lended out.
Reserve Ratio = Reserves / Deposits
12. Quantity Theory of Money Answer: MV = PQ
13. Real Interest Rate Calculation Answer: Real Interest Rate = Nominal Interest Rate -
Inflation Rate
14. Money Supply Composition Answer: Money Supply = Currency + Deposits +
Reserves
15. Interest-Rate Effect Answer: Lower interest rates increase demand and vice versa
16. Monetary Injection Definition Answer: Increase in Money Supply by a central bank.
Increases the amount
of money in circulation
17. Spending Multiplier Definition Answer: Spending Multiplier = 1 / MPS
2/
6
Calgary with correct questions
and answers
usr
[COMPANY NAME] [Company address]
, 1. GDP Equation Answer: GDP (sometimes written as Y) = C + G + I + (NX)
2. Unemployment Rate Formula Answer: Unemployment Rate = (Number of Unemployed) /
(Labor Force) ×
100
3. Inflation Rate Calculation Answer: Inflation Rate = (Current CPI - Previous CPI) / (Previous
CPI) × 100
4. Aggregate Demand Curve Definition Answer: Shows all of the demand for finished
goods in an economy
5. Aggregate Supply Curve Defintion Answer: Shows all of the supply of finished goods in
an economy
6. Short-Run Equilibrium Answer: Short-Run Equilibrium Answer: AD = AS.
7. Long-Run Equilibrium Answer: Long-Run Equilibrium Answer: AS meets LRAS
8. Growth Rate Formula Answer: Growth Rate = (New GDP - Old GDP) / (Old GDP) × 100
9. What are some of the growth policies? (methods the central bank uses
to stimulate economic growth) Answer: Policies include investment in capital, technological
advancements, and education
10. Money Multiplier Concept Answer: Money Multiplier = 1 / (Reserve Ratio)
11. Reserve Ratio Definition Answer: The percentage or amount of reserves a bank holds
in its personal accounts
in relation to the amount that is lended out.
Reserve Ratio = Reserves / Deposits
12. Quantity Theory of Money Answer: MV = PQ
13. Real Interest Rate Calculation Answer: Real Interest Rate = Nominal Interest Rate -
Inflation Rate
14. Money Supply Composition Answer: Money Supply = Currency + Deposits +
Reserves
15. Interest-Rate Effect Answer: Lower interest rates increase demand and vice versa
16. Monetary Injection Definition Answer: Increase in Money Supply by a central bank.
Increases the amount
of money in circulation
17. Spending Multiplier Definition Answer: Spending Multiplier = 1 / MPS
2/
6
