Economics: The Basics 1st Edition by Mike Mandel

Exercise 7

Indicate whether each of the following transactions is a part of final goods and services or an intermediate input. If it is part of final goods and services, indicate which GDP component it belongs to-personal consumption, nonresidential investment, residential investment, government purchases of goods and services, inventory investment, or net exports.
a) A restaurant purchases chopped meat to use in hamburgers.
b) A restaurant buys new chairs for its dining room.
c) A family on vacation in the U.S. rents a car.
d) The local school district pays the salary of a first-grade teacher.
e) A family builds a new deck behind its house.
f) Intel builds a chip-making factory in Arizona.
g) The federal government increases Social Security payments to the elderly.