Homework Help is Here – Start Your Trial Now!
Business
Economics
4. Suppose you buy your uncle's childhood house for $300, 000 and rent it out to a friend for a yearly rent of $15, 000. What should be added to GDP for the year? (a) $300,000 should be added to investment, $15,000 should be added to consumption (b) $300,000 should be added as housing services ($15, 000 is not added because this is included in the $300, 000) (c) $315,000 should be added to consumption. (d) None of the above

4. Suppose you buy your uncle's childhood house for $300, 000 and rent it out to a friend for a yearly rent of $15, 000. What should be added to GDP for the year? (a) $300,000 should be added to investment, $15,000 should be added to consumption (b) $300,000 should be added as housing services ($15, 000 is not added because this is included in the $300, 000) (c) $315,000 should be added to consumption. (d) None of the above

Survey Of Economics
Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter17: Federal Deficits, Surpluses, And The National Debt
Section17.3: Why Worry Over The National Debt?
Problem 1YTE
See similar textbooks
icon
Related questions
Question

1

4. Suppose you buy your uncle's childhood house for $300, 000 and rent it out to a friend for a yearly rent of $15, 000. What should be added to GDP for the year? (a) $300, 000 should be added to investment, $15, 000 should be added to consumption (b) $300, 000 should be added as housing services ($15, 000 is not added because this is included in the $300, 000) (c) $315,000 should be added to consumption. (d) None of the above 5. Suppose the labor force increases by 5%, the adult population increases by 3% and the number of unemployed increases by 2%. Then (a) The labor force participation rate decreases by approximately 3% (b) The labor force participation rate increases by approximately 2% (c) The unemployment rate decreases by approximately is 1%. (d) The unemployment rate increases by approximately is 2%.
Transcribed Image Text:4. Suppose you buy your uncle's childhood house for $300, 000 and rent it out to a friend for a yearly rent of $15, 000. What should be added to GDP for the year? (a) $300, 000 should be added to investment, $15, 000 should be added to consumption (b) $300, 000 should be added as housing services ($15, 000 is not added because this is included in the $300, 000) (c) $315,000 should be added to consumption. (d) None of the above 5. Suppose the labor force increases by 5%, the adult population increases by 3% and the number of unemployed increases by 2%. Then (a) The labor force participation rate decreases by approximately 3% (b) The labor force participation rate increases by approximately 2% (c) The unemployment rate decreases by approximately is 1%. (d) The unemployment rate increases by approximately is 2%.
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Survey Of Economics
Survey Of Economics
Economics
ISBN:
9781337111522
Author:
Tucker, Irvin B.
Publisher:
Cengage,
Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Economics
ISBN:
9781337091992
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Brief Principles of Macroeconomics (MindTap Cours…
Brief Principles of Macroeconomics (MindTap Cours…
Economics
ISBN:
9781337091985
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS