Exam 12: Gdp: Measuring Total Production and Income

Table 12-28 Billions of Dollars GDP \ 3,250 Depreciation 300 Retained earnings 1,000 Personal income 2,500 Transfer payments 50 -Refer to Table 12-28.Based on the table above,what is national income for this economy?

Over the last 50 years,has the ratio of household production to gross domestic product in the United States increased or decreased? Consider the effect of the increased number of women working outside the home,and the effect of advances in technology in household production such as microwaves,coffee makers,power tools,etc.

Assuming that the United States is the domestic economy,________ are goods and services produced by ________ and purchased by ________.

Table 12-8 Product Quantity Price Sweaters 50 \ 50.00 CDs 150 10.00 Sugar 600 1.00 Soft drinks 800 0.75 -Refer to Table 12-8.Suppose that a simple economy produces only four goods and services: sweaters,CDs,sugar,and soft drinks.Assume one half of the sugar is used in making the soft drinks and the other half of the sugar is purchased by households.Calculate nominal GDP for this simple economy.

The GDP deflator is a measure of the

Table 12-29 Billions of Dollars GDP \ 5,250 Transfer Payments 50 Retained earnings 700 Depreciation 1,250 -Refer to Table 12-29.Based on the table above,what is national income for this economy?

In a small economy,consumption spending in 2013 is $6,000,government spending is $1,200,gross investment is $1,500,exports are $2,000,and imports are $1,000.What is gross domestic product in 2013?

In 2013,the U.S.auto industry experienced rising sales.The automobile industry was experiencing the effects of

Consumption expenditures do not include household purchases of

In the circular flow model,the value of total production for an economy ________ the value of total expenditures on final goods and services.

Which of the following is not true about the composition of GDP in 2012?

The purchase by a household in China of a CD produced in the United States is included in U.S.

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.Nominal GDP for Tyrovia in 2013 equals

Which of the following is counted in GDP?

The Philippines and Vietnam have roughly the same size population.Suppose the GDP of the Philippines is $1,000 billion and the GDP of Vietnam is $10,000 billion.You should conclude

Table 12-19 Nominal GDP \ 10,000 \ 12,000 Real GDP 9,500 10,500 -Refer to Table 12-19.Given the information above,calculate the GDP deflator in 2012.

Table 12-4 Consumption expenditures \ 800 Investment expenditures 300 Government purchases 300 Government transfer payments 400 Exports 300 Imports 100 -Refer to Table 12-4.Consider the data above (in billions of dollars)for an economy: Gross domestic product (in billions of dollars)for this economy equals

What is the largest component of spending in the United States?

Which of the following is considered a durable good?

National income equals gross national product minus