Exam 14: Gdp: a Measure of Total Production and Income

-The table above gives the production and prices for a small nation that produces only bread and soda.The base year is 2010.What is real GDP in 2010?

What are the categories of total expenditure?

The business cycle has two phases,

The relationship between real GDP and potential GDP over the business cycle can be best summarized by which of the following statements?

-The table above gives the values of different expenditures in the United States during 1999.Answer the following questions about the United States. a.What was the value of net exports of goods and services in 1999? b.What was (nominal)GDP equal to in 1999? c.What was the (nominal)value of total production equal to in 1999?

This year a firm produces $100 million worth of cars this year and sells $102 million worth of cars.Which of the following is true?

Investment,as included in GDP,consists of what?

The expenditure approach to measuring GDP is done by using data on only

Nominal GDP can change

Leisure time is ignored when calculating GDP because leisure time

When measuring GDP,

Real GDP can increase if the I.quantities of goods and services produced decrease and prices fall by a smaller percentage. Ii.quantities of goods and services produced decrease and prices fall by a larger percentage. Iii.quantities of goods and services produced decrease and prices do not change. Iv.quantities of goods and services produced increase.

-Based on the figure above,in which quarter or quarters did a peak occur?

Excluding household and underground production leads to

"When you purchase $1,000 of stock in Microsoft,your purchase is an investment and hence is part of GDP." Is this assertion correct? Explain your answer.

The base year is 2011.A country only produces Blu-ray players.The price of a Blu-ray player in 2011 was $100.The price of a Blu-ray player was $90 in 2012.The quantity of Blu-ray players produced in 2011 was 10,000 units and in 2012 was 10,500 units.Nominal GDP in 2012 equals

A measure of a country's production is its

In comparing the magnitudes of the components of GDP according to the expenditure approach,we see that in the United States

Gross Domestic Product equals

Which of the following is included in Germany's GDP? I.BMWs produced in a German-owned factory in South Carolina Ii.the value of the stocks sold on the German stock exchange,the Frankfurt Stock Exchange Iii.china produced by the English-owned Wedgewood Company at a factory in Berlin,Germany