Exam 26: Measuring Domestic Output and National Income

In an economy experiencing a persistently falling price level:

Answer the question on the basis of the following national income data for the economy.All figures are in billions of dollars. Personal Consumption Expenditures \ 400 Government Purchases 128 Gross Private Domestic Investment 88 Net Exports 7 Net Foreign Factor Income 0 Consumption of Fixed Capital 43 Taxes on Production and Imports 50 Compensation of Employees 369 Rents 12 Interest 15 Proprietors' Income 52 Corporate Income Taxes 36 Dividends 24 Undistributed Corporate Profits 22 Statistical Discrepancy 0 Refer to the data.Net domestic product is:

If real GDP in a particular year is $80 billion and nominal GDP is $240 billion,the GDP price index for that year is:

Assume an economy that makes only one product and that year 3 is the base year.Output and price data for a five-year period are as follows.Answer the question on the basis of these data. 1 2 3 4 5 Units of 3 4 6 7 8 Price Per \ 3 4 5 7 8 Refer to the data.For the years shown,the growth of:

Which of the following is a source of data for the investment component of U.S.GDP?

Consumption of fixed capital (depreciation)can be determined by:

Historically,real GDP has increased less rapidly than nominal GDP because:

Answer the question on the basis of the following national income data.All figures are in billions of dollars. Personal Taxes \ 23 Net Private Domestic Investment 33 Net Exports 6 National Income 278 U.S. Exports 20 Gross Private Domestic Investment 56 Disposable Income 220 Taxes on Production and Imports 32 Undistributed Corporate Profits 15 Proprietors' Income 45 Net Foreign Factors Income 0 Statistical Discrepancy 0 Refer to the data.The gross domestic product is:

Assume an economy that is producing only one product.Output and price data for a three-year period are as follows.Answer the question on the basis of these data. 1 2 3 Units of 20 25 30 Price Per \ 4 4 6 Refer to the data.If year 2 is chosen for the base year,in year 3 nominal GDP and real GDP,respectively,are:

What is the difference between national income and personal income?

Use the following table for a hypothetical single-product economy. 1 2 3 4 Units of 10 12 15 20 Price of Bagel \ 10 20 30 40 Price Index 100 200 300 400 Refer to the data.Nominal GDP in year 4 is:

Gross domestic product (GDP)measures and reports output:

The total amount of income earned by U.S.resource suppliers in a year,plus taxes on production and imports,is measured by:

If depreciation exceeds gross investment:

Alejandro Scoobertini owns a store specializing in soccer jerseys.In 2012,he purchased $150,000 worth of jerseys from manufacturers,employed one worker for $40,000,purchased $20,000 worth of supplies from an office supply store,and sold jerseys for $280,000.Based on this information,what was the value added at Alejandro's store in 2012?

Answer the question on the basis of the following data.All figures are in billions of dollars. Personal Taxes \4 0 Social Security Contributions 15 Taxes on Production and Imports 20 Corporate Income Taxes 40 Transfer Payments 22 U.S. Exports 24 Undistributed Corporate Profits 35 Government Purchases 90 Gross Private Domestic Investment 75 U.S. Imports 22 Personal Consumption Expenditures 250 Consumption of Fixed Capital 25 Net Foreign Factor Income 10 Statistical Discrepancy 0 Refer to the data.NI is:

By summing the dollar value of all market transactions in the economy,we would:

A price index is:

In national income accounting,the consumption category of expenditures includes purchases of:

If real GDP is 50 and nominal GDP is 100,the GDP price index is 200.