4. Why would broadband services (internet and cable) be necessary components

of preparing the economy for the post-COVID world?

5. Identify and describe TWO ways that the COVID-19 has exacerbated (made worse) close contact economic sectors such as cruise lines and shopping malls.

A. B.

Read this to answer the questions:

The numbers evoke the worst economic nightmares in American history. But White House economic adviser Kevin Hassett freely admits he can't map the path out.

"A lot of it depends on things I have no expertise in," Hassett, previously a CNN contributor, said in an interview this past week with Poppy Harlow.

That's the surreal reality facing President Donald Trump's economic team as growth turns into contraction and 30 million Americans have lost their jobs. It is a Great Depression-level economic crisis that has everything to do with public health -- but, unlike the 2008 financial collapse, very little to do with anything wrong in the underlying economy.

As a result, the tools economists typically use for adjusting supply and demand -- targeted spending, tax cuts, changes to trade and regulatory policy -- hold little power. The restoration of American prosperity lies more in the hands of the public health officials, epidemiologists and scientists racing to develop a coronavirus vaccine.

"The No. 1 rule of virus economics is, go stop the virus if you want to fix the economy," says Austan Goolsbee, a former economic adviser to President Barack Obama. He suggested that White House economists pore over state-by-state data to identify the best ways to halt epidemic spread.

Success would preserve the possibility of the rapid "V-shaped" recovery that the Trump administration has embraced as its objective. The quest to achieve it has led Trump to allow federal guidelines to expire and goad governors into re-opening their states for business despite warnings from public health officials of resurgent infections.

The Congressional Budget Office, which rarely tracks administration optimism, also envisions a solid rebound as economic activity resumes. After plummeting at a 40% annual rate during April, May and June, the CBO forecasts, output will grow at a 17% rate in the second half of 2020.

But all forecasts for this unprecedented situation depend on factors no economist can confidently anticipate. How many businesses will have preserved enough of their workforces and customers to profitably re-open when governors flash the green light? If

infections spike again, can advances in testing and treatments contain them? Or could renewed shutdowns throw the economic engine back into reverse this fall?

The mix of public fear, financial hardship and business uncertainty creates enormous doubt -- which is Kryptonite to corporate planners and consumers alike.

"This isn't going to be a V, let's face it," concludes former CBO director Doug Holtz-Eakin. The job for Trump's economic team, Holtz-Eakin says, is identifying "the right set of policies to support the economy in this new world we're in." That could include regulatory changes that help businesses adapt workplaces to accommodate health concerns, or expansion of broadband infrastructure to meet increased demand for telehealth and other services provided at a distance.

The pandemic threatens permanent damage to sectors requiring close-quarters contact among large groups, such as the cruise ship industry. Shuttered malls, which for years have lost market share to online retailers, may never recover.

Yet the most urgent immediate economic task is simply preserving connections among businesses, their workers, and their customers so they can restore familiar patterns when health conditions permit.

"Try to reduce the permanent destruction," says Betsey Stevenson, another former Obama economist. "Every single day, there's a little bit of crumbling going on."

Too much crumbling would transform a short-term coronavirus shutdown into long-term economic blight. Business failures turn sound bank loans into defaults, which in turn could create a self-perpetuating financial crisis.

To stave that off, the Federal Reserve and Congress alike have thrown a lifeline of cash at the entire American economy. Instead of altering the economy's path, the goal is simply to keep its head above water until the pandemic storm has passed.

"We're just going to have to keep doing it," says Andrew Metrick, who directs the Yale University Program on Financial Stability. "Traditional economic policy things -- that's not what we need right now."

But that's easier to sustain for the independent Fed through its credit facilities than for a divided Congress and President through direct spending decisions. As the trillions mount and aid priorities widen, the Republican President and Senate have begun to balk.

"The liquidity and cash phase is coming to an end," White House National Economic Council director Larry Kudlow cautioned in recent days. He signaled a return to the president's pre-pandemic agenda, including tax-cuts and infrastructure investment.

With Trump now trailing in crucial battleground states, election-year pressures threaten to create new risks. After other White House aides suggested punishing Beijing over the coronavirus by defaulting on Chinese-held US debt -- a step certain to raise borrowing costs and damage the nation's financial pre-eminence - Trump's economic team rushed to publicly quash the idea.

The turn toward recriminations and traditional priorities signals confidence among some advisers -- if not those responsible for public health - that progress against the virus has opened the door to economic resurgence. "We're on the other side of the medical aspect of this," the president's son-in-law Jared Kushner said last week. Hassett sounded less sure. "Opening up will be a significant positive event," he cautioned, "but only if opening up does not lead to a renewal of this terrible contagion."

Every Easter, an average of 960,000 hams and 90,000 bottles of wine are sold per state. Importantly, the population variance/standard deviation is not known. Below is the number of hams and bottles of wine sold in each of the ten northeast states.

Use the above data to answer the following question (each question is worth 1.5 pts):

What is the mean and estimated population variance for both the number of hams and number of bottles of wine sold in the American northeast?

If we are interested in whether or not the average number of hams sold in the American northeast differs from that of the rest of the American population, how would we write the null and alternative hypotheses (using the new statistical notation for stating statistical hypotheses; see page 235)?

If we are interested in whether or not the average number of bottles of wine sold in the American northeast is greater than that of the rest of the American population, how would we write the null and alternative hypotheses (using the new statistical notation for stating statistical hypotheses; see page 235)?

What is t-crit and t-obt for the hypothesis test stated in question #2? Is the hypothesis test significant or insignificant? Would you reject or fail to reject the null hypothesis assuming an alpha-level of 0.05?

What is t-crit and t-obt for the hypothesis test stated in question #3? Is the hypothesis test significant or insignificant? Would you reject or fail to reject the null hypothesis assuming an alpha-level of 0.05?

Consider the reaction CO(g)+NH3(g)⇌HCONH2(g), Kc=0.870 If a reaction vessel initially contains only CO and NH3 at concentrations of 1.00 M and 2.00 M, respectively, what will the concentration of HCONH2 be at equilibrium?

You and a co-worker rarely see eye to eye. Tomorrow, your co-worker will yell at you for the first time. With what tools will you approach this confrontation? How will the tools that you choose impact your response?

Consider the reaction

CO(g)+NH3(g)⇌HCONH2(g),    Kc=0.760

If a reaction vessel initially contains only CO and NH3 at concentrations of 1.00 M and 2.00 M, respectively, what will the concentration of HCONH2 be at equilibrium?

1. Mark your confusion.
2. Show evidence of a close reading.
3. Write a 1+ page reflection.

The Black Wealth Gap
Source: TheWeek.com, October 2, 2020

Decades after the civil rights movement, African Americans still hold a fraction of the wealth of white
Americans. Why? Here's everything you need to know:
How big is the gap?
It's staggering. The net worth of a typical white family in 2016 — including home, retirement accounts,
and all assets — was nearly 10 times greater than that of a Black family, at $171,000 to $17,600. This
gulf even includes African Americans whose households are headed by college graduates, who actually
have less net worth than white households headed by high school dropouts. Wealth begets wealth through
generations, and African Americans have missed out on that transfer for centuries. Just 8 percent of Black
families receive an inheritance from parents or grandparents. For someone with no buffer of savings and
no family member who can help, any financial emergency — a sudden illness or job loss — is a
catastrophe.
How did the gap start?
After the Civil War, Reconstruction was supposed to begin making up for the hundreds of years of
slavery during which African Americans had wages, property, and even spouses and children stolen from
them. But the "40 acres and a mule" promised by Gen. William Sherman was yanked away by Abraham
Lincoln's successor, President Andrew Johnson, and the little land that had been parceled out was
returned to the white former slaveholders. Most Blacks in the South after the war were forced to toil as
sharecroppers, perpetually in debt to white landowners. Blacks who managed to succeed despite all this
fell victim to white terrorism, as in the 1898 Wilmington, North Carolina, massacre that wiped out a
Black-led government in the nation's only successful coup, or the 1921 Tulsa massacre in which jealous
whites attacked, burned, and even bombed from the air a thriving neighborhood known as Black Wall
Street. With segregation and Jim Crow laws depriving them of the vote and of economic opportunity,
many Blacks abandoned the South in the Great Migration, only to find more-subtle discrimination waiting
in the North.
What kind of discrimination?
The New Deal was meant to help the poor across America, but it had racism baked into it. Rather than
overturning racial covenants that kept Blacks out of desirable neighborhoods, the new Federal Housing

Administration promoted them. The government Home Owners' Loan Corporation marked majority-
Black districts in red on maps, so banks would not extend government-insured loans there — suppressing

both Black homeownership and business development. The corrosive effects of that "redlining" persist to
this day. After World War II, the G.I. Bill, which paid for college or vocational training for veterans and
offered subsidized mortgages, was administered by the states, which funneled the benefits away from
Blacks. And the 1956 Federal Highway Act that helped create the suburbs bulldozed and isolated black
neighborhoods, creating ghettos.
Didn't the Civil Rights Act help?
The 1964 Civil Rights Act prohibited discrimination and strengthened voting rights and the desegregation
of schools. But even as it "struck down legal barriers," says historian Leon Litwack, "it failed to dismantle
economic barriers." The wealth gap was already so large that even if Blacks were paid the same as whites
for the same job — and they were not — they were unable to catch up. Meanwhile, the era of mass
incarceration had begun. By the 1980s, Black men were 11 times as likely to be incarcerated as whites,
thanks partly to laws punishing use of crack cocaine an order of magnitude harsher than powder cocaine,
1. Mark your confusion.
2. Show evidence of a close reading.
3. Write a 1+ page reflection.

which was favored by wealthier whites. Our educational system also perpetuates Black poverty: Unlike in
most other advanced nations, schools are funded locally and are tied to the local tax base, which means
that people growing up in poor neighborhoods go to inadequate schools. Far from shrinking, the racial
wealth gap has in fact grown over the past few decades, particularly after the 2008 financial crisis, which
wiped out much of the progress blacks had made. While median white household incomes rose by a third
from 1983 to 2016, typical Black household incomes actually dropped by 50 percent.
But don't some Black people succeed?
Yes, but individual efforts to "bootstrap" one's way up the economic ladder face enormous obstacles. A
2019 Georgetown University study showed that wealth in youth is a better predictor of success than
intelligence. Racism in hiring persists, as numerous studies have shown that pit a résumé with a "Black--
sounding" name against a similar one with a white name. Marriage and stable families help create wealth,
and married Black women have more wealth than single Black women. But many Black men with low
incomes do not feel marriageable; moreover, a 2017 DuBois Cook Center study showed that wealth
differences persist between the races despite marriage status. Structural racism leaves African Americans

trapped in a wealth gap that is actually widening, not narrowing. "It is as though we have run up a credit-
card bill and, having pledged to charge no more, remain befuddled that the balance does not disappear,"

Black writer and intellectual Ta-Nehisi Coates said in The Atlantic. "The effects of that balance, interest
accruing daily, are all around us."
How COVID-19 worsened the gap
When the coronavirus hit this year, Black Americans were still reeling from the 2008 financial crisis. That
downturn had wiped out 53 percent of all Black wealth, largely because subprime lenders had targeted
Black communities with loans on bad terms. Then came the COVID-19 shutdown. While 22 percent of all
U.S. businesses shuttered between February and April this year, 41 percent of Black-owned businesses
closed. Many African-American business owners couldn't access the Payroll Protection Program, because
loans tended to go to large firms that had existing relationships with major banks. One study found that
white owners who went in person to a bank to ask for a PPP loan fared much better than Black owners
who did so, even when the Black owners had better financial profiles. And many Black-owned businesses
are sole proprietorships, which weren't covered. As a result, fewer than half of all African-American
adults now have a job. "The pandemic is falling on those least able to bear its burdens," said Federal
Reserve Chair Jerome Powell. "It is a great increaser of inequality."

Possible Response Questions:
• What are your thoughts about the black wealth gap? Explain.

Sales-Related and Purchase-Related Transactions for Seller and Buyer Using Perpetual Inventory System

The following selected transactions were completed during August between Summit Company and Beartooth Co.:

Required:

1. Journalize the August transactions for Beartooth Co. (the buyer).

2. Journalize the August transactions for Summit Company (the seller).