Table 12-5 \[\begin{array} { | c | c | c | c | } \hline \text { Stage of Production } & \text { Seller } & \text { Buyer } & \text { Price } \\ \hline 1 & \text { Steelmill } & \text { Auto manufacturer } & \$ 10,000 \\ \hline 2 & \text { Auto manufacturer } & \text { Auto dealer } & 18,000 \\ \hline 3 & \text { Auto dealer } & \text { Consumer } & 25,000 \\ \hline \end{array}\] Consider the table above showing three stages of production of an automobile. -Refer to Table 12-5.The value of each automobile in gross domestic product equals

A) $7,000. B) $15,000. C) $18,000. D) $25,000. A) $7,000. B) $15,000. C) $18,000. D) $25,000.

Table 12-11 \[\begin{array} { | c | c | c | c | c | } \hline \text { Year } & \begin{array} { c } \text { Guns } \\ \text { Produced } \end{array} & \text { Price af Guns } & \begin{array} { c } \text { Butter } \\ \text { Prodiced } \end{array} & \begin{array} { c } \text { Price of } \\ \text { Butter } \end{array} \\ \hline 2005 & 80 & \$ 5 & 40 & \$ 4 \\ \hline 2013 & 90 & 6 & 60 & 10 \\ \hline \end{array}\] Consider the following data for Tyrovia, a country that produces only two products: guns and butter. -Refer to Table 12-11.Real GDP for Tyrovia for 2013 using 2005 as the base year equals

A) $1,140. B) $880. C) $690. D) $560. A) $1,140. B) $880. C) $690. D) $560.

Exam 12: Gdp: Measuring Total Production and Income

Is nominal GDP measured in terms of quantity or in terms of dollars? If dollars,the value of the dollar from what period? Is real GDP measured in terms of quantity or in terms of dollars? If dollars,the value of the dollar from what period?

(Essay)

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Question 61

If GDP calculations included measurements of pollution and environmental damage,GDP values would most likely be

(Multiple Choice)

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Question 62

Which of the following could cause nominal GDP to increase,but real GDP to decrease?

(Multiple Choice)

4.8/5

(40)

Question 63

Why do we subtract import spending from total expenditures?

(Essay)

4.8/5

(44)

Question 64

Personal income is defined as

(Multiple Choice)

4.9/5

(34)

Question 65

Table 12-5 Stage of Production Seller Buyer Price 1 Steelmill Auto manufacturer \ 10,000 2 Auto manufacturer Auto dealer 18,000 3 Auto dealer Consumer 25,000 Consider the table above showing three stages of production of an automobile. -Refer to Table 12-5.The value of each automobile in gross domestic product equals

(Multiple Choice)

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(34)

Question 66

In periods when prices are falling,on average

(Multiple Choice)

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Question 67

If a German firm produces cars in the United States,that production should count towards

(Multiple Choice)

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Question 68

A sharp increase in the divorce rate increases the number of lawyers hired to determine divorce settlements.This will

(Multiple Choice)

4.9/5

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Question 69

In 2013,Kendall Ford,an automobile dealership,spent $20,000 on a new car lift for its repair shop,$2,000 on a new copy machine for its sales division,and $600,000 on Ford Motor company stock.Unsold cars and trucks were valued at $400,000 on January 1,2013 and unsold cars and trucks were valued at $900,000 on December 31,2013.What is Kendall Ford's total investment spending in 2013?

(Multiple Choice)

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Question 70

Which of the following accurately describes an effect of hurricane Katrina on GDP?

(Multiple Choice)

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Question 71

Home Depot sells new and used doors to contractors who build new homes.Home Depot also sells new and used doors to homeowners.Which of the following would be counted in GDP?

(Multiple Choice)

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(30)

Question 72

Table 12-23 2007-2013 Product Quantity Price Quantity Price Pizzas 100 \ 10 120 \ 12 Haircuts 50 15 45 20 Backpacks 200 40 210 45 -Refer to Table 12-23.Suppose that a very simple economy produces three goods: pizzas,haircuts,and backpacks.Suppose the quantities produced and their corresponding prices for 2007 and 2013 are shown in the table above.Use the information to compute real GDP in the year 2007 and 2013.Assume that 2007 is the base year.Is output higher in 2013 or 2007? Why?

(Essay)

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Question 73

Which of the following are included in gross domestic product for an economy in a given year?

(Multiple Choice)

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Question 74

Which of the following is a true statement about the impact of World War II on the U.S.economy?

(Multiple Choice)

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Question 75

Gross domestic product in the economy is measured by the

(Multiple Choice)

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Question 76

Table 12-11 Year Guns Produced Price af Guns Butter Prodiced Price of Butter 2005 80 \ 5 40 \ 4 2013 90 6 60 10 Consider the following data for Tyrovia, a country that produces only two products: guns and butter. -Refer to Table 12-11.Real GDP for Tyrovia for 2013 using 2005 as the base year equals

(Multiple Choice)

4.8/5

(42)

Question 77

Which of the following are not considered part of government purchases?

(Multiple Choice)

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Question 78

Caroline is an artist.She purchases canvas,paints,brushes,and accessories for $75.She sells one of her original paintings to an art gallery for $1,500,even though an art lover would pay $4,500 for that painting.How much value does Caroline add?

(Multiple Choice)

4.8/5

(34)

Question 79

The size of the underground economy would tend to decrease if the government of a country

(Multiple Choice)

4.9/5

(47)

Question 80

Is nominal GDP measured in terms of quantity or in terms of dollars? If dollars,the value of the dollar from what period? Is real GDP measured in terms of quantity or in terms of dollars? If dollars,the value of the dollar from what period?

If GDP calculations included measurements of pollution and environmental damage,GDP values would most likely be

Which of the following could cause nominal GDP to increase,but real GDP to decrease?

Why do we subtract import spending from total expenditures?

Personal income is defined as

In periods when prices are falling,on average

If a German firm produces cars in the United States,that production should count towards

A sharp increase in the divorce rate increases the number of lawyers hired to determine divorce settlements.This will

Which of the following accurately describes an effect of hurricane Katrina on GDP?

Home Depot sells new and used doors to contractors who build new homes.Home Depot also sells new and used doors to homeowners.Which of the following would be counted in GDP?

Which of the following are included in gross domestic product for an economy in a given year?

Which of the following is a true statement about the impact of World War II on the U.S.economy?

Gross domestic product in the economy is measured by the

Table 12-11 Year Guns Produced Price af Guns Butter Prodiced Price of Butter 2005 80 \ 5 40 \ 4 2013 90 6 60 10 Consider the following data for Tyrovia, a country that produces only two products: guns and butter. -Refer to Table 12-11.Real GDP for Tyrovia for 2013 using 2005 as the base year equals

Which of the following are not considered part of government purchases?

Caroline is an artist.She purchases canvas,paints,brushes,and accessories for $75.She sells one of her original paintings to an art gallery for $1,500,even though an art lover would pay $4,500 for that painting.How much value does Caroline add?

The size of the underground economy would tend to decrease if the government of a country

Economics: Foundations and Models

Trade-Offs, comparative Advantage, and the Market System

Where Prices Come From: the Interaction of Demand and Supply

Market Efficiency and Market Failure

The Economics of Health Care

Firms, the Stock Market, and Corporate Governance

Consumer Choice and Elasticity

Technology, production, and Costs

Firms in Perfectly Competitive Markets

Monopoly and Antitrust Policy

Monopolistic Competition and Oligopoly

Unemployment and Inflation

Economic Growth, the Financial System, and Business Cycles

Aggregate Demand and Aggregate Supply Analysis

Money, banks, and the Federal Reserve System

Monetary Policy

Fiscal Policy

Comparative Advantage, international Trade, and Exchange Rates

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