# ECO 202 - Macroeconomics

## ECO 202 Practice Problem Bank

This is where the ECO 202 practice problem bank will go!

## Practice Problems (Module 3)

Question #1: A country saves ¼ of any increase in disposable income. Then government purchases, G, decrease by 100. In what direction and by how … Read More

## Practice Problems (Module 2) – ECO 202

Question #1: Total output within the 50 states is 2400 in a year when the total income of american workers and firms is 3500. American … Read More

## Calculating Money Supply (M0, M1, etc.)

Imagine you are studying a small island economy.  If you wanted to predict things like inflation or business lending, it would be very important to … Read More

## Loanable Funds Theory of Interest

When learning about the loanable funds theory of interest, it is important to remember that interest rates are a price…just like anything else in economics. … Read More

## Real Interest Rates

Let’s say you lent your friend \$5 to buy 20 gum-balls for 25¢ each. You agree that he will pay you \$10 in one year’s … Read More

## Stock vs. Flow

We’ll start with stock, and then get to flow. Stock explained Imagine you carry your wallet around with you everywhere you go. Periodically, some bills … Read More