Comments on the homework due Friday, Dec. 1

I need to clarify some wording on problem 1.

(D below is the delta, or triangle. I can't get that symbol to show here)

To determine what is happening to velocity you should calculate the percentage change in velocity (D%V), rather than velocity (V) itself (you don’t have a starting value to determine that). In this problem velocity is NOT assumed to be stable or constant.

Use the equation D%M + D%V = D%nominal GDP.

For problem 3, D%V = 0% (under the quantity theory). Use the equation

D%M + D%V = D%P + D%Y.

I apologize for any confusion. Good luck.

Test #3 score distribution and discussion

Here is some information regarding the third test. I've tabulated scores from the test and also have tabulated scores and projected grades through the first 3/4^th of the semester.

Test 3 distribution:

mean = 27.0263 out of 40 (67.57%)
median = 27.5 out of 40 (68.75%)

standard deviation = 5.48 (13.69%)

The distribution of "approximate grades" is as follows:

out of 45 points:

A: 33 + (14 observations)
B: 27 – 32.5 (29 observations)
C: 21.5 – 26.5 (22 observations)
D: 17* - 21 (8 observations)
F: 16.5 and lower 2 observations)

any score under 20 (50%) should indicate that you really didn’t perform well at all.

**************************************************************************

3/4^th term grades:

From your scores on the three tests and homework assignments, you can compute a weighted average. If you scored perfect on all assignments you could have up to 71 points. So calculate your weighted average and divide by 71 to get your current percentage score. I have calculated your weighted average of points and wrote that on your test paper which was returned to you. You can divide your points by 71 to put into the percentages. Currently the distribution is as follows:

*The following are in PERCENTAGES—The figure on your paper is POINTS, not PCT. Do the MATH*

mean = 72.16%
median = 72.87%
stdev = 10.39%

So the following distribution of "approximate grades" is used to determine the midterm grade:

A: 83 % and higher (10 observations)
B: 72 - 82.9% (29 observations)
C: 61 - 71.9% (29 observations)
D: 50 – 60.9% (10 observations)
F: below 50% (2 observations)

Key to Test 3 study problems

I slapped this bad boy together pretty quickly. If I made any errors please let me know. You might wish to check back to see if there are any modifications. (Trust me, I'm much more careful with a real test.)

1-D, 2-D, 3-B, 4-A, 5-A, 6-A,
7-B, 8-D, 9-C, 10-B, 11-D, 12-C,
13-C, 14-A, 15-D, 16-A,
17-C*, 18-B, 19-D, 20-D, 21-C,
22-A, 23-B, 24-D, 25-B,
26-B, 27-B, 28-A, 29-D, 30-B, 31-A, 32-A,
33-D, 34-A, 35-B, 36-B, 37-C, 38-D,
39-C, 40-C, 41-A, 42-B, 43-D, 44-B,
45-A, 46-C, 47-A, 48-B, 49-B, 50-D, 51-D,
52-A, 53-A, 54-D, 55-B, 56-A, 57-B.

* 17 originally had the answer as D. That was a typo. Thanks McCombie for point that out.

I apologize for some of the awkward wording on some of these problems. Some are drawn from a source when I used a different text book. (e.g., public savings is government savings, X is also EX). Also, I didn't talk about "crowding out" in class. But it is discussed clearly in the text. It is merely what happens if when the government borrows to finance the deficit they drive up interest rates that reduce private investment. We say private investment is crowded out by the government's deficit.

Other questions? I'll try to help you out. Good luck and check back later.

Homework #10 solutions

I have put the solutions to homework #10 on the I-drive. It is an Excel file.

JJ

IUP Hellbenders

11

Remember, the homework assignment (Homework 11) handed out in class on Wednesday Nov. 8 will be due Monday, November13 rather than Friday November 10. We will need to cover a little more material on Friday so that you can complete the assignment.

However, if you read the book you should be able to figure it all out anyway.

Good luck.

formula

( currency / M1) x 100