Exam 8: Gdp: Measuring Total Production and Income

In the United States in 2013,the Bureau of Economic Analysis began counting spending on research and development as ________,which counts as a part of GDP.

Which of the following transactions would take place in the "underground economy"?

Table 8-32 -Refer to Table 8-32.The table above represents hypothetical data from the National Income Accounts for 2015.Use the data to calculate personal income and disposable income.

Table 8-11 Consider the following data for Tyrovia,a country that produces only two products: guns and butter. -Refer to Table 8-11.Real GDP for Tyrovia for 2016 using 2007 as the base year equals

If nominal GDP rises we can say that

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?

Table 8-18 A very simple economy produces three goods: cameras,legal services,and books.The quantities produced and their corresponding prices for 2011 and 2016 are shown in the table above. -Refer to Table 8-18.What is nominal GDP in 2016 when 2011 is the base year?

The size of the underground economy as a percent of GDP is larger in the United States as compared to poorer countries such as Zimbabwe.

Disposable personal income is equal to personal income minus personal tax payments.

If a U.S.firm produces cars in Mexico,that production should count towards

A transfer payment is a payment by the government to an individual

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 8-5 Consider the table above showing three stages of production of an automobile. -Refer to Table 8-5.The value added by the automobile dealer equals

High-income countries such as the United States spend a greater amount on services as compared to goods.

If an increase in crime causes households to spend money on police and security systems,GDP will rise.

Which of the following would be directly counted in GDP in 2016?

To make the calculation of real GDP more accurate,in 1996 the BEA switched to using

National income equals gross national product minus

Table 8-20 -Refer to Table 8-20.Given the following information,calculate the rate of increase in the price level from 2015 to 2016.

The purchase of a new automobile is included in