Exam 5: The Wealth of Nations: Defining and Measuring Macroeconomic Aggregates

The table below contains data for the country of Wandalian for the year 2017. -Refer to the above table.What was Wandalian's net exports in 2017?

The price of a house in Year 1 was $50,000.If the Consumer Price Index is 101 for Year 1 and 202 for Year 2,the value of the house in Year 2 is ________.

Scenario: John and Sue are married and live in the United States. John is a Canadian citizen and stays home with their two children, Micah and Madison; his caretaking is valued at $20,000 per child. He also programs video games from home in the evenings for a Japanese-based online poker site for $50,000 per year. Sue works as a high-powered lawyer for Berkshire Hathaway at their London branch for the U.S. dollar equivalent of $1,00,000 per year. -Refer to the above scenario.How much does John contribute to U.S.GNP?

Scenario: A typical resident of the country of Univertopia consumes a simple basket of goods consisting of soda, pizza, and Frisbees. The base year's basket contains 500 sodas, 200 pizzas, and 40 Frisbees. The prices of these goods over 8 years are given in the table. -Refer to the scenario above.Using 2014 as the base year,what is the Consumer Price Index for 2011?

________ is the total value of final goods and services produced in a country,using current market prices to determine the value of each unit that is produced.

Scenario: John and Sue are married and live in the United States. John is a Canadian citizen and stays home with their two children, Micah and Madison; his caretaking is valued at $20,000 per child. He also programs video games from home in the evenings for a Japanese-based online poker site for $50,000 per year. Sue works as a high-powered lawyer for Berkshire Hathaway at their London branch for the U.S. dollar equivalent of $1,00,000 per year. -Refer to the above scenario.How much does Sue contribute to U.S.GNP?

The GDP of Richland during a particular year was $672,500.If the expenditure on consumption during that year was $220,000,the expenditure on investment was $250,000,the expenditure incurred by the government was $100,000,and the value of exports was $182,000,then the value of imports was ________.

Which of the following forms the largest share of GDP in the United States when measured using the expenditure method?

Tom is a U.S.citizen.He moved to the United Kingdom after starting a new job there.This is likely to have led to a(n)________.

Scenario: Mike's housekeeper charges $30 for mowing his lawn. -Refer to the scenario above.Suppose that besides consuming all the potatoes grown on his farm,Edwin buys 5 pounds of potatoes at $0.80 per pound.What is likely to happen in this case?

The country described in the table below produces and consumes only three goods: energy drinks, pizza, and t-shirts. The quantity produced and price of each good in 2016 and 2017 are provided. -Refer to the above table.Assuming that 2016 is the base year,by what percentage did real GDP grow between 2016 and 2017?

If the value of the output generated by a country's factors of production within the borders of foreign countries is higher than the value of the output generated by foreign factors of production within its borders,________.

What is the correct national income accounting identity in an open economy?

Scenario: A typical resident of the country of Univertopia consumes a simple basket of goods consisting of soda, pizza, and Frisbees. The base year's basket contains 500 sodas, 200 pizzas, and 40 Frisbees. The prices of these goods over 8 years are given in the table. -Refer to the scenario above.Using 2014 as the base year,the inflation rate in 2017 is ________.

The price of a given basket of goods in Year 1 was $1,300.The price of the same basket of goods in Year 2 was $1,560.Taking Year 1 as the base year,the Consumer Price Index for Year 2 is ________.

Double counting occurs when ________ included in the calculation of the GDP.

The GDP of Country X in a particular year was $820,000.The value added by U.S.workers in the production of various goods and services in Country X during that year was worth $150,000.The value added by the workers of Country X in the production of various goods and services in other countries during that year was worth $130,000.What was the GNP of Country X during that year?

The following table contains prices and quantities for the three goods produced in the country of Linfieldia. -Refer to the table above.Assuming that 2015 is the base year,what is nominal GDP for 2016?

Scenario: Sarah takes care of her son instead of sending him to a day care that charges $12,000 annually. -Refer to the scenario above.Sarah's husband earns a salary of $70,000 per year.Which of the following will happen if her husband,instead of Sarah,quits his job to look after their son?

Consider the roles of capital depreciation,home production,and the underground economy in real production.When estimating the percentage of measured GDP that these three factors would make up,how much does real production possibly differ from measured GDP?