Exam 5: GDP: a Measure of Total Production and Income

Government expenditures on goods and services include i. the local Library's purchase of new books. ii. ACT's road maintenance. iii. the State of Victoria's payment of wages to correctional service officers.

The base year is 2019. A country only produces iPhones. The price of an iPhone in 2017 was $50. The price of an iPhone was $30 in 2019. The quantity of iPhones produced in 2017 was 10,000 units and in 2019 was 20,000 units. Nominal GDP in 2019 equals

If last year net exports of goods and services was negative. This means that

Gross domestic product equals

Even though it is not a perfect measure, economists can use real GDP to i. compare how standards of living in China have changed over the past 10 years. ii. look at the length of recessions and expansions in Australia. iii. compare the standard of living in China versus the standard of living in Vietnam.

Which of the following is included in Australia's GDP? i. The rental value of homes owned by Australian citizens ii. The production of Cotton On t-shirts by their suppliers in India iii. Tickets sold by Bruno Mars for concerts held in Sydney

As more women decide to work outside the home and therefore hire others to work around their home, GDP will increase by