questions

Macroeconomics Discussion Session Exercise #3
1. “I got a 2% raise but my standard of living still went
down this year.” Explain thoroughly how this is possible.

2. What are the problems with measuring GDP/GNP.

3. Is GDP/GNP a good indicator of society’s well-being? Why
or why not? 2

4. How is the official unemployment rate calculated? Who is
not included in it and what affect does this have on the official rate? How is
the marginalization rate calculated?

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