Question 1
Which of the following would normally NOT be considered as a macroeconomic issue?
◦ Inflation
◦ Economic growth
◦ The price of butter
◦ Unemployment
Question 2
If the price index in period 3 is 125 and the price index in period 4 is 140, the rate of inflation between period 3 and period 4 is
◦ 10.7%.
◦ 15%.
◦ 12%.
◦ cannot be determined from this information because the base year is not known.