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

During last year, a country produced 20,000 pizzas and 10,000 hamburgers and nothing else.The pizzas sold for $10.00 each and the hamburgers for $3.00 each.Nominal GDP was

-Bananaland produces only bananas and sunscreen and the quantities and prices for 2010 and 2011 are given in the table above.The base year is 2010.Nominal GDP in 2010 is equal to

GDP is

What does GDP measure?

In the years after 1998, the most severe recession occurred during

The expenditure approach values ________ and the income approach values ________.

Item Billions of dollars Wages 300 Consumption expenditure 350 Interest, rent, and profit 50 Statistical discrepancy 0 Government expenditure 300 Indirect taxes minus subsidies 15 Net exports of goods and services -11 Depreciation 15 -Using the information in the table above, what does GDP equal?

Economists define investment to include purchases of

Item Billions of dollars Consumption expenditure 6,258 Investment 1,623 Government expenditure on goods and services 1,630 Exports of goods and services 998 Imports of goods and services 1,252 -The table above gives the values of different expenditures in the United States during 1999.Answer the following questions about the United States. a. What was the value of net exports of goods and services in 1999? b. What was (nominal) GDP equal to in 1999? c. What was the (nominal) value of total production equal to in 1999?

How are final goods and services valued when measuring nominal GDP?

If a wealthy woman marries her butler, quits paying him and does not hire a new butler, then

The U.S.economy is experiencing falling output, falling employment, falling incomes and rising unemployment.These conditions best describe a business cycle ________.

Instead of taking the dirty laundry with you when you go back to visit your parents, you use a Laundromat.Your use of the Laundromat means that

Define and discuss GDP.

In 1959, real GDP totaled $575 billion and in 2009 it totaled $1,255 billion. Between 1959 and 2009, the population increased from 50 million to 100 million. Between 1959 and 2009, the standard of living based on real GDP per person

Last year U.S.net exports of goods and services was negative.This fact means that last year

Which of the following statement is correct?

If consumption was 70 percent of GDP and both investment and government expenditure were 18 percent each, then we see that

Leisure time ________.

When industrial activity increases ________.