Suppose a college student obtained a $[LOAN] student loan in 2024. One year later, in 2025, she paid off the loan, including $[INTEREST] in interest. The consumer price index in 2024 was [CPI2024] and was [CPI2025] in 2025. As a result, the real interest rate on the loan is ___ percent. Enter your answer as a number only (do not include “%”). Round to two decimal places. If the real interest rate is negative, include a negative sign.

Suppose actual real GDP is $24.3 trillion but potential GDP is $24.7 trillion. The Federal Reserve engages in monetary policy to close this gap. The effect of the proper Federal Reserve policy will be to [value1] the [value2] curve. As a result, the price level [value3] and unemployment [value4].

Using the complex AD/AS model, from an initial long-run equilibrium, if aggregate demand grows more slowly than long-run and short-run aggregate supply, then the Fed would most likely

Actual real GDP is greater than potential real GDP.  In order to close this gap the Federal Reserve should

You transfer $800 from your checking account into your savings account. This causes M1 to [value1] and M2 to [value2].

If the Federal Reserve targets the interest rate and the money demand curve shifts to the left, then the Federal Reserve [value1] maintain the interest rate target and the quantity of the money supply [value2].

The required reserve ratio equals [r] percent. The Fed buys $[A] million in U.S. government securities. The maximum amount the money supply can change for the banking system is $____. Enter a value. Do not include the “$” sign. Round to two decimal places.

If the current account is in deficit, we know the [value1] is in [value2].

If actual real GDP is greater than potential real GDP by $500 and the marginal propensity to save if 0.20, then in order to close this gap, the government [value1] taxes by $[value2].

Quantity of labor(workers)   Output(groomings) 1 15 2 28 3 39 4 48 5 56 6 62 7 66 8 69 Diego’s Dog Grooming is a perfectly competitive firm charging $4.50 per dog grooming. Diego’s Dog Grooming has the total and marginal product of labor schedules in the above table and can hire workers from a perfectly competitive labor market for $27 per hour. The profit-maximizing level of employment for Diego’s Dog Grooming is [value] workers.