Math Skills Prerequisite to ECON 2030
The four problems below are representative of the mathematics required for dealing with the basic relationships in macroeconomics. You should be able to solve these sample problems even though you do not yet know what the various symbols stand for.

Problem 1:

 Given: C = 750 + 0.90Y I = 350 G = 400 Find: the values of Y and C that satisfy the equation: Y = C + I + G

Problem 2:

 Given: DY = [-b/(1-b)] DT b = 2/3 Find: the value of DT that yields a  DY of 200 Note:: The Greek letter "D" (Delta) means "change." The equation indicates that the change in Y is -b/(1-b) times the change in T. You need not (and should not) convert the fraction 2/3 to 0.66666666666666666666666666666666666666666666.

Problem 3:

 Given: M = C + D D = R/r C = 600 R = 400 Find: the value of r that yields an M of 2,600

Problem 4:

 Given: C = a + bY, where a and b are known parameters Y = C + I Find: the equation that describes how C depends upon I Hint: You're looking for an equation in the form C = h + jI,  where h and j are expressions in a and/or b. Application: Suppose that a = 400 and b = 0.75. Find: the corresponding values of h and j Write C = h + jI, using these numerical values. When I = 600, how much is C?

Problems 5a and 5b:

 For the determination of course grades, each student will have the benefit of two alternative weighting schemes. The two one-hour exams plus the final exam will count 1/3, 1/3, and 1/3 or 1/4, 1/4, and 1/2, depending upon which weighting gives the higher score.      The break points for letter grades are set at 90, 80, 70, and 60. Problem 5a: Suppose your scores for the two one-hour exams are 92 and 97. What is the lowest score you could make on the final exam and still earn an A for the course? (Ignore prospects for rounding the course average.) Problem 5b: Suppose your scores for the two one-hour exams are 73 and 69. What is the lowest score you could make on the final exam and still earn a B for the course? (Again, ignore prospects for rounding the course average.)

 Separate these terms, names, and phrases into the appropriate "LEFT" and "RIGHT" categories--beginning with LEFT on the left and RIGHT on the right. LEFT ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ LEFT RIGHT LIBERAL RON PAUL DEMOCRAT REPUBLICAN RED STATES DICK CHENEY BLUE STATES LAISSEZ FAIRE JOHN KENNEDY CONSERVATIVE BARACK OBAMA RONALD REAGAN BIG GOVERNMENT HILLARY CLINTON CENTRAL CONTROL SMALL GOVERNMENT MINIMUM-WAGE LEGISLATION PRIVATIZATION OF SOCIAL SECURITY TAX-FUNDED COMPREHENSIVE MEDICAL CARE MARKET SOLUTIONS TO ECONOMIC PROBLEMS GOVERNMENT SOLUTIONS TO ECONOMIC PROBLEMS RIGHT ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____

 Arrange the dozen events below in chronological order, giving approximate dates. EVENT DATES 1. WORLD WAR II   2. THE GREAT DEPRESSION   3. ELECTION OF WOODROW WILSON   4. WORLD WAR I   5. INTRODUCTION OF THE MODEL T FORD   6. VIETNAM WAR   7. ELECTION OF JOHN F. KENNEDY   8. ELECTION OF FRANKLIN D. ROOSEVELT   9. KOREAN WAR 10. ELECTION OF HERBERT HOOVER 11. STOCK MARKET CRASH 12. PEARL HARBOR ____  ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ ____ _________  _________ _________ _________ _________ _________ _________ _________ _________ _________ _________ _________