Exam 19: GDP: Measuring Total Production and Income

Explore all topics

How can a firm have a negative valued added,as supposedly some state-owned businesses did in the former Soviet Union? What has to be true for value added to be negative?

Free

(Essay)

4.8/5

(31)

Question 1

Correct Answer:

Verified

A negative value added means that the cost of the intermediate goods exceeds the price of the final product produced using the intermediate goods.For value added to be negative,a firm would use its primary factors of production,such as labor and capital equipment,to produce a product from the intermediate goods that is less valuable than the intermediate goods themselves.

Presently,GDP is ________ to compensate for the costs of environmental damage.

Free

(Multiple Choice)

4.7/5

(30)

Question 2

Correct Answer:

Verified

Table 19-15 The components of national income for an economy are represented in Table 19-15 above. All values are in billions of dollars. -Refer to Table 19-15.What is the level of personal income for this economy?

Free

(Multiple Choice)

4.9/5

(39)

Question 3

Correct Answer:

Verified

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

(Multiple Choice)

4.9/5

(31)

Question 4

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)

4.9/5

(23)

Question 5

Table 19-5 Consider the table above showing three stages of production of an automobile. -Refer to Scenario 19-1.The value added of CANOES-R-US for each canoe equals

(Multiple Choice)

4.9/5

(34)

Question 6

Which of the following is not directly counted in GDP?

(Multiple Choice)

4.8/5

(39)

Question 7

When consumers are less confident about their jobs or incomes,they are more likely to

(Multiple Choice)

4.9/5

(43)

Question 8

Table 19-15 The components of national income for an economy are represented in Table 19-15 above. All values are in billions of dollars. -Refer to Table 19-15.What is the level of disposable personal income for this economy?

(Multiple Choice)

4.8/5

(34)

Question 9

Developing countries with large informal sectors tend to have firms that invest less in capital equipment.

(True/False)

4.8/5

(38)

Question 10

Table 19-3 -Refer to Table 19-3.Consider the data above (in billions of dollars)for an economy: Gross domestic product (in billions of dollars)for this economy equals

(Multiple Choice)

4.8/5

(39)

Question 11

Suppose Bob works for Mary as a proofreader.Mary and Bob fall deeply in love,marry and have eight children.Bob stops working for Mary in order to care for the children.What will be the effect on GDP?

(Multiple Choice)

4.9/5

(38)

Question 12

Table 19-14 -Refer to Table 19-14.Consider the data above for a simple economy: Using 2005 as the base year,calculate nominal GDP,real GDP,and the GDP deflator for 2011.Show your work.

(Essay)

4.7/5

(29)

Question 13

Which of the following would be directly counted in GDP in 2012?

(Multiple Choice)

4.8/5

(39)

Question 14

Table 19-10 Consider the data shown above for Vicuna, a country that produces only two products: oranges and shirts. -Refer to Table 19-10.Real GDP for Vicuna for 2009 using 2011 as the base year equals

(Multiple Choice)

4.8/5

(37)

Question 15

Table 19-1 -Refer to Table 19-1.Suppose that a simple economy produces only four goods and services: sweatshirts,dental examinations,coffee drinks,and coffee beans.Assume all of the coffee beans are used in the production of the coffee drinks.Using the information in the above table,nominal GDP for this simple economy equals

(Multiple Choice)

4.8/5

(43)

Question 16

Which of the following headlines would be more closely related to what macroeconomists study than what microeconomists study?

(Multiple Choice)

4.9/5

(39)

Question 17

The value of what a U.S.-owned McDonald's produces in South Korea is included in the U.S. and the South Korean .

(Multiple Choice)

4.7/5

(30)

Question 18

National income equals gross domestic product

(Multiple Choice)

4.9/5

(38)

Question 19

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

(Multiple Choice)

4.9/5

(39)

Question 20

Showing 1 - 20 of 135

Exam 19: GDP: Measuring Total Production and Income

How can a firm have a negative valued added,as supposedly some state-owned businesses did in the former Soviet Union? What has to be true for value added to be negative?

Presently,GDP is ________ to compensate for the costs of environmental damage.

Table 19-15 The components of national income for an economy are represented in Table 19-15 above. All values are in billions of dollars. -Refer to Table 19-15.What is the level of personal income for this economy?

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

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?

Table 19-5 Consider the table above showing three stages of production of an automobile. -Refer to Scenario 19-1.The value added of CANOES-R-US for each canoe equals

Which of the following is not directly counted in GDP?

When consumers are less confident about their jobs or incomes,they are more likely to

Table 19-15 The components of national income for an economy are represented in Table 19-15 above. All values are in billions of dollars. -Refer to Table 19-15.What is the level of disposable personal income for this economy?

Developing countries with large informal sectors tend to have firms that invest less in capital equipment.

Table 19-3 -Refer to Table 19-3.Consider the data above (in billions of dollars)for an economy: Gross domestic product (in billions of dollars)for this economy equals

Suppose Bob works for Mary as a proofreader.Mary and Bob fall deeply in love,marry and have eight children.Bob stops working for Mary in order to care for the children.What will be the effect on GDP?

Table 19-14 -Refer to Table 19-14.Consider the data above for a simple economy: Using 2005 as the base year,calculate nominal GDP,real GDP,and the GDP deflator for 2011.Show your work.

Which of the following would be directly counted in GDP in 2012?

Table 19-10 Consider the data shown above for Vicuna, a country that produces only two products: oranges and shirts. -Refer to Table 19-10.Real GDP for Vicuna for 2009 using 2011 as the base year equals

Which of the following headlines would be more closely related to what macroeconomists study than what microeconomists study?

The value of what a U.S.-owned McDonald's produces in South Korea is included in the U.S.________ and the South Korean ________.

National income equals gross domestic product

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

Economic Efficiency, government Price Setting, and Taxes

Externalities, environmental Policy, and Public Goods

Elasticity: The Responsiveness of Demand and Supply

The Economics of Health Care

Firms, the Stock Market, and Corporate Governance

Comparative Advantage and the Gains From International Trade

Consumer Choice and Behavioral Economics

Technology, production, and Costs

Firms in Perfectly Competitive Markets

Monopolistic Competition: The Competitive Model in a More Realistic Setting

Oligopoly: Firms in Less Competitive Markets

Monopoly and Antitrust Policy

Pricing Strategy

The Markets for Labor and Other Factors of Production

Public Choice, taxes, and the Distribution of Income

Unemployment and Inflation

Economic Growth, the Financial System, and Business Cycles

Long-Run Economic Growth: Sources and Policies

Aggregate Expenditure and Output in the Short Run

Aggregate Demand and Aggregate Supply Analysis

Money, banks, and the Federal Reserve System

Monetary Policy

Fiscal Policy

Inflation, unemployment, and Federal Reserve Policy

Macroeconomics in an Open Economy

The International Financial System

Filters

The value of what a U.S.-owned McDonald's produces in South Korea is included in the U.S. and the South Korean .