11 If the value of exports equals $6.5 billion and the value of imports equals $8.0 billion in a year, then: together exports and imports reduce the gross domestic product (GDP) by 1.5 billion. It can be measured either by calculating the total spending on production or the total income from that production. The gross domestic product (GDP) excludes. c. tires for production of a new automobile. Our experts can answer your tough homework and study questions. Given the following hypothetical data where C = $3,000; I = $1,200; G = $2,000; X − M = −$500; depreciation = $200; and transfer payments = $800, net domestic product is _____. C. Farming crop purchased by FCI. All other trademarks and copyrights are the property of their respective owners. The circular flow model shows the flow of: Which of the following statements is true regarding leakages and injections? the sum of the income earned by all the resource suppliers in an economy. In view of the coronavirus pandemic, ... economics. However, it becomes a final good when it is used by the households.
Which of the following causes a decrease in demand... Compute the problems below. An intermediate good is _________. An intermediate good is an item sold by a seller to another seller who uses this item as a raw material in a specific commodity's production process.
Your IP: 126.96.36.199 The gross domestic product (GDP) of an economy for a particular year is likely to increase if _____.
the total market value of all final goods and services produced within a given period by factors of production owned by a country's citizens, regardless of where output is produced, Profits earned in the United States by foreign-owned companies are included in, In 1994 final sales equal $120 billion and the change in business inventories is -$10 billion. When a firm produces and sells a refrigerator worth $1,000, its contribution to the gross domestic product (GDP) on the income side is measured by: the sum of the wages, interest, and rent paid by the firm's owners and the profit of the firm. Steel and cement used to construct a flyover. T/F : National income accounting is important because it provides economists with detailed information that can be used to track the health of an economy and to forecast future growth and development, T/F : When calculating gross domestic product (GDP), it doesn't matter whether you use the income or expenditure approach because they will always equal each other, False; due to measurement problems stated in the chapter, it is more efficient to use the expenditure approach, T/F : The difference between GDP and NDP is indirect business taxes, False; the difference between the two is that depreciation is subtracted from GDP to calculate NDP, T/F : Two measurement problems with GDP discussed in the chapter include the underground economy and household activities; including both of these would decrease the overall value of GDP, False; if the underground economy and household activities were included, the value of GDP would be higher, T/F : By measuring and adding only the value added of goods, we can avoid multiple counting and get a better estimate of GDP. Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. Imports of goods and services are items that _____ in Canada _____ the rest of the world. Which of the following is included as government purchases in gross domestic product (GDP)? The flour that Amy orders each month for the bakery she manages. Intermediate goods, on the other hand, have not finished their journey when somebody or a company buys them.
Gross domestic product and gross investment are measured ______. If a firm hires labor for $8,000, pays rent of $4,000, buys raw materials for $13,000 from another firm, earns profits of $1,200, and sells its output for $31,000, the value added by the firm is _____. The value added by the restaurant is _____. Which of the following is a problem associated with gross domestic product (GDP) as a measure of social welfare? Which of the following is an example of an intermediate good? Using the values below, what is the calculated value of NDP? The sale price of a new house purchased by Joe. 11) Which of the following is an example of an intermediate good? In this context, the gross domestic product (GDP) will _____. the sum of the value added at all stages of production.
GDP includes that part of the capital stock used up in the production process, while NDP does not. - Definition & Example, Intro to Excel: Essential Training & Tutorials, MTTC Marketing Education (036): Practice & Study Guide, Introduction to Macroeconomics: Help and Review, College Macroeconomics: Homework Help Resource, Introduction to Management: Help and Review, Holt McDougal Economics - Concepts and Choices: Online Textbook Help, College Macroeconomics: Tutoring Solution, MTTC Economics (007): Practice & Study Guide, Public Speaking Syllabus Resource & Lesson Plans, DSST Business Ethics and Society: Study Guide & Test Prep, Internet & Social Media Marketing: Help & Review, Biological and Biomedical Tom gets fired for being late often after his alarm clock breaks. The ingredients used cost $10. The U.S. Department of Commerce has been developing so-called "green accounting" to: register the impact of pollution and natural resource depletion, The statement "Gross domestic product (GDP) values all output equally" means that.
Marianne and Laura are both homemakers with children. Tom gets fired for being late often after his alarm clock breaks. Which of the following would be included in the calculation of gross domestic product (GDP)? Which of the following is an example of consumption expenditure? The market value of transactions in the underground economy. Which of the following is an example of an intermediate goods? An automobile engine is an example of an intermediate good, and is used in the production of the final good, the assembled automobile. Jimmy Earl, a farmer, sells $20 worth of peanuts to a factory that manufactures peanut butter, which sells it for $45.
An example of a final good is _______. Answer to . The total amount spent _____ is called gross investment. If an economy produces final output worth $5 trillion, then the aggregate income generated by that production: the value of the firm's product minus the cost of materials it bought from other firms. Firms produce a certain number of goods and services within a period of time, usually per week, month, quarter or year. If a firm hires labor for $20,000, pays rent of $12,000, buys raw materials for $6,000 from another firm, earns profits of $3,000, and sells its output for $41,000, the value added by the firm is _____. D. All of the above. To make the house more marketable, she buys carpeting that she has professionally installed and buys wallpaper that her daughter hangs. Which of the following is an example of an injection into the circular flow of income and expenditure? Which of the following is an example of a final good or service? Which of the following is an example of an intermediate good? b. the chocolate you buy to make yourself some cookies. A product may be either an intermediate or consumer good, depending on w… The money spent by Kate on the purchase of new furniture. When calculating gross domestic product (GDP), double counting can be avoided by: summing the value added at each stage of production. - Definition, Types & Examples, How a New Product is Adopted by Consumers, Marketing Channel: Definition and Function in the Marketplace, Pricing Decisions: Profit-Oriented, Sales & Status Quo, Pioneering Advertising: Examples & Overview, Benefits of Integrated Marketing Communication, Channel Intermediaries: Definition and Function in Business, Branding and Brand Equity in Business Marketing, Brand Extension: Definition, Strategy, Failures & Examples, Brand Repositioning: Definition, Strategies & Examples, What is the Product Life Cycle? Which items would be included in this year's gross domestic product (GDP)?
Final sales in 1994, If in a year there is a negative inventory investment, the final sales, T/F : If a car produced and first sold in 2007 is traded in and resold in 2008, the sale is counted as part of GDP in 2007 and 2008, False; it is only counted as part of GDP in the year in which it was produced, T/F : If McDonalds buys a bun for 10¢ and beef for 30¢, and sells a hamburger for $1, the contribution to GDP is $1.40 as each of these goods are final goods. When somebody buys a consumer good, it is for their own use or consumption. Cloudflare Ray ID: 5eda674cfccb0857 - Definition, Causes & History, Money and Multiplier Effect: Formula and Reserve Ratio, Circular Flow Diagram in Economics: Definition & Example, The Money Market: Money Supply and Money Demand Curves, Defining and Measuring the Unemployment Rate, What is an Economic Model? - Definition & Theory, Supply and Demand Curves in the Classical Model and Keynesian Model, Crowding Out in Economics: Definition & Effects, What is a Budget Deficit? The value of the drugs being sold in a vacant lot. - Definition & Examples, Price Skimming: Definition, Examples & Strategy, Channel Conflict: Horizontal & Vertical Conflict, Positioning and Differentiation in Consumer Marketing, Customer Service Manager Skills & Training, Benefits of Customer Relationship Management (CRM), Developing Strong Customer Service Skills, UExcel Anatomy & Physiology: Study Guide & Test Prep, Economics 101: Principles of Microeconomics, Human Resource Management: Help and Review, Geography 101: Human & Cultural Geography, Introduction to Macroeconomics: Help and Review, History 106: The Civil War and Reconstruction, Biological and Biomedical homeowners hire lawn care services rather than maintaining the lawns themselves. AIt is possible for GDP to rise by only 0.9 percent given increases of more than 0.9 percent in business investment and imports because _______. c. the pizza sauce you purchase to make pizzas to sell for a fund-raiser for …
B. The existence of the underground economy causes gross domestic product (GDP) statistics to _____. Payments to clerical workers hired by government. Which of the following is not an example of intermediate goods or services? The immediate effect of a purchase of a government bond on the gross domestic product (GDP) is_____.