Complete the Following Table in Preparation for a Monte Carlo

question 85

Essay

Complete the following table in preparation for a Monte Carlo simulation.
If a random number of 77 is generated what is the demand?
$$\begin{array} { | c | c | c | c | } \hline \text { Demand } & \text { Probability } & \begin{array} { c } \text { Cumulative } \\\text { Probability }\end{array} & \begin{array} { c } \text { Interval of Random } \\\text { Numbers }\end{array} \\\hline 0 & & .1 & \\\hline 2 & & & 11 - 25 \\\hline 3 & & .3 & \\\hline 4 & & & \\\hline & & & 91 - 100 \\\hline\end{array}$$

---

Definitions:

Actual Inflation

The observed increase in prices for goods and services in an economy over a period, typically measured as a percentage.

Unemployment Rate

The unemployment rate is the percentage of the labor force that is jobless and actively looking for employment.

Natural Rate

The rate of output at which an economy operates without inflationary pressures, often referred to as the natural rate of unemployment.

Phillips Curve

A concept in economics that indicates an inverse relationship between the rate of unemployment and the rate of inflation within an economy.