Chapter 9 Formulas and Definitions All symbols are as in the textbook and lectures. CA + FA = 0, ignoring KA, and except for the statistical discrepancy GDP = C + I + G + X – M GNP = GDP + net primary income + net secondary income GNP = C + I + G + CA S + (T – G) = I + CA ********************************************* Information for questions 8-9 Consider the following hypothetical information on the National Income and Product Accounts for South Korea. South Korea’s Capital Account is 0. The amounts are in billions of dollars, but ignore the “billions” part, that is, just treat the numbers as whole numbers in dollars. For all questions, enter a whole number of the appropriate sign. Enter 0 if the answer cannot be obtained with the information given. Only the exact answer is accepted, so double check your calculations. Calculate South Korea’s private savings.

Chapter 9 Formulas and Definitions All symbols are as in the textbook and lectures. CA + FA = 0, ignoring KA, and except for the statistical discrepancy GDP = C + I + G + X – M GNP = GDP + net primary income + net secondary income GNP = C + I + G + CA S + (T – G) = I + CA ********************************** An American architect designs a building in Medellín, Colombia, and gets paid for her work in Colombian pesos. For this question, consider only the payment directly made in exchange for the architect’s work, not the separate transaction of exchanging Colombian pesos for U.S. dollars which is possibly done afterwards. In the U.S. Balance of Payments accounts, the payment to the U.S. architect is entered as

Chapter 10 Formulas and Definitions All symbols are as in the textbook and lectures. Unless otherwise stated, you can assume that two countries have purchasing power parity (PPP) and interest rate parity. Exchange rate when there is PPP: R = P / P*. In this formula, P and P* can be regarded as prices of individual goods or of consumption baskets. Approximate relationship when there is interest rate parity: i – i* = (F – R)/R. For the purpose of this test, take this equation to be exact, not approximate. You can also use the equivalent equation i – i* = F/R – 1. For this formula to work, i and i* must be fractional, not percentages. So, a domestic interest rate of 1.34% is written i=1.0134, a foreign interest rate of 22.5% is written i*=1.225. Note that you may be asked to enter answers as percentages, though. ********************************************* An Italian car costs $32,000 in New York. Currently, €1 (1 euro) trades for $1.19. Euro is the currency used in Italy. If the United States and Italy are at Purchasing Power Parity, calculate the price of the same car in Italy, in euros. Only answers approximately within 1% are accepted, so double check your calculations, and enter a whole number, rounding to the nearest euro.

Chapter 9 Formulas and Definitions All symbols are as in the textbook and lectures. CA + FA = 0, ignoring KA, and except for the statistical discrepancy GDP = C + I + G + X – M GNP = GDP + net primary income + net secondary income GNP = C + I + G + CA S + (T – G) = I + CA ********************************************* Information for questions 1-3 The table below lists the major items in a country’s Balance of Payments accounts. This country’s Capital Account is 0. The amounts are in billions of dollars, but ignore the “billions” part, that is, just treat the numbers as whole numbers in dollars. For all questions, enter a whole number of the appropriate sign. Enter 0 if the answer cannot be obtained with the information given. Only exact answer is accepted, so double check your calculations.  Are the country’s factors of production (capital and labor) employed abroad earning more or less than foreign factors of production (capital and labor) employed in this country? Calculate the difference: money earned abroad by this country’s factors of production – money earned in this country by foreign factors of production. This difference can be positive or negative, make sure to enter the right sign.

What is the production of new neurons called?

Damage to the ventral stream may interfere with:

Light enters the eye through an opening in the center of the iris called the:

Inhibitory synapses on a neuron:

An MRI device creates an image of the brain based on:

Which of the following techniques is dependent upon the release of oxygen from hemoglobin molecules?