Exam 10: Measuring a Nations Income

A country reported nominal GDP of $100 billion in 2010 and $75 billion in 2009. It also reported a GDP deflator of 125 in 2010 and 120 in 2009. Between 2009 and 2010,

In the economy of Ukzten in 2010, consumption was $200, exports were $50, GDP was $325, government purchases were $100, imports were $125, and investment was $100. What were Ukzten's net exports in 2010?

Which of the following is not included in GDP?

Expenditures on a nation's domestic production

Table 10-6 The table below contains data for the country of Batterland, which produces only waffles and pancakes. The base year is 2009.Prices and Quantities Year Price of Quantity af Price af Quantity af Waffles Waffles Pancalkes Pancalkes 2008 \ 2.00 100 \ 1.00 100 2009 \ 2.00 120 \ 2.00 150 2010 \ 2.00 150 \ 3.00 200 2011 \ 4.00 180 \ 3.00 220 -Refer to Table 10-6. In 2010, this country's real GDP was

Which of the following items is included in GDP?

One bag of flour is sold for $1.00 to a bakery, which uses the flour to bake bread that is sold for $3.00 to consumers. A second bag of flour is sold for $1 to a grocery store who sells it to a consumer for $2.00. Taking these four transactions into account, what is the effect on GDP?

If the price of a Blu-Ray Disc player is three times the price of an MP3 player, then a Blue-Ray Disc player contributes

Table 10-6 The table below contains data for the country of Batterland, which produces only waffles and pancakes. The base year is 2009.Prices and Quantities Year Price of Quantity af Price af Quantity af Waffles Waffles Pancalkes Pancalkes 2008 \ 2.00 100 \ 1.00 100 2009 \ 2.00 120 \ 2.00 150 2010 \ 2.00 150 \ 3.00 200 2011 \ 4.00 180 \ 3.00 220 -Refer to Table 10-6. In 2008, this country's real GDP was

George lived in a home that was newly constructed in 2005 for which he paid $200,000. In 2008 he sold the house for $225,000. Which of the following statements is correct regarding the sale of the house?

Changes in nominal GDP reflect

The basic tools of supply and demand are central to microeconomic analysis but are of little use to macroeconomics.

When an American household purchases a bottle of Italian wine for $100,

Table 10-5 A hypothetical country of Lahland produces only movies and popcorn. Quantities and prices of these goods for the last several years are shown below. The base year is 2009.Prices and Quantities Year Price af Mavies Quantity af Mavies Price af Popcarn Quantity df Papentn 2008 \ 10.00 400 \ 5 800 2009 11.00 500 \ 4 900 2010 \ 12.00 600 \ 5 1000 2011 \ 12.00 600 \ 900 -Refer to Table 10-5 In which year was this country's real GDP highest?

The government of a country, which has adopted American GDP accounting conventions, reported that seasonally adjusted GDP in quarter 3 was $12 billion at an annual rate. This means that the seasonally-adjusted market value of all final goods and services produced within this country in quarter 3 was

The government purchases component of GDP includes salaries paid to soldiers but not Social Security benefits paid to the elderly.

Which of the following questions is more likely to be studied by a microeconomist than a macroeconomist?

If consumption is $1800, GDP is $4300, government purchases are $1000, imports are $700, and investment is $1200, then exports are $300.

The Patersons bought a home that was newly constructed in 2007 for $275,000. They sold the home in 2009 for $205,000. Which of the following statements is correct regarding the sale of the house?

Suppose an economy produces only cheese and fish. In 2010, 20 units of cheese are sold at $5 each and 8 units of fish are sold at $50 each. In 2009, the base year, the price of cheese was $10 per unit and the price of fish was $75 per unit. For 2010,