Bus305 case 3

Bus305 case 3CASE READING:Bouman, John. Principles of Macroeconomics. “Unit 3: Gross Domestic Product” Retrieved from:http://www.inflateyourmind.com/pdfs/macroeconomics.pdfGroshen, Erica and Simon Potter. (2003) “Has Structural Change Contributed to a Jobless Recovery?” Current Issues in Economics and Finance. NY Federal Reserve. New York. 9(8). Retrieved from:http://www.newyorkfed.org/research/current_issues/ci9-8/ci9-8.htmlUse the background material and research on your own to write a 4- to 5-page paper that addresses the following questions:Note: Please address each question separately.1. What is the difference between a final good and an intermediate good? Give one example of each. How are they treated in GDP calculations?2. True/False Statements. Indicate if the statement below is True or False. You must support your answer with a few sentences for each statement.a. Government expenditure is the largest single category of GDP.b. Nominal GDP uses current market prices and real GDP measures GDP using base-year prices.c. GDP increases if you purchase General Motors stock.3. Define the natural rate of unemployment. Identify three factors that may cause the natural rate to change over time.4. Read the article and address the question below:http://www.newyorkfed.org/research/current_issues/ci9-8/ci9-8.htmlWhy do you think structural unemployment delays economic recovery more than does cyclical unemployment?ASSIGNMENT EXPECTATIONS:Please be sure to cite all sources within the text and provide a reference list at the end of the paper.Length: 4-5 pages, double-spaced and typed.The following items will be assessed in particular:Your ability to understand an application of demand and supply.Some in-text references to the modular background material (APA formatting not required).The essay should address each element of the assignment. Remember to support your answers with solid references including the Case readings.