A restaurant in the US imports $5,000 of Belgian beer into the U.S. and sells the beer together with hamburgers and fries. The inputs used to produce the hamburgers and fries were produced entirely within the US. The revenue received by the restaurant from the sale of burgers, fries, and beer is $45,000. As a result of these transactions: O Belgian GDP is unchanged and U.S. GDP rises by $50,000. O Belgian GDP rises by $5,000 and U.S. GDP rises by $45,000. O Blhmian GDP is unchanged and U.S. GDP rises by $45,00. O Belgian GDP rises by $5,000 and U.S. GDP rises by $40.000.

A restaurant in the US imports $5,000 of Belgian beer into the U.S. and sells the beer together with hamburgers and fries. The inputs used to produce the hamburgers and fries were produced entirely within the US. The revenue received by the restaurant from the sale of burgers, fries, and beer is $45,000. As a result of these transactions: O Belgian GDP is unchanged and U.S. GDP rises by $50,000. O Belgian GDP rises by $5,000 and U.S. GDP rises by $45,000. O Blhmian GDP is unchanged and U.S. GDP rises by $45,00. O Belgian GDP rises by $5,000 and U.S. GDP rises by $40.000.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

14
The GDP of the U.S. represents about O 25 O 35 O 45 O 55 % of the GDP of the world.
i need the answer quickly
1. dix Suppose the country produces only two goods: beef and wheat. The table below summarizes the quantities of each good produced and the corresponding prices in every year since 2005: Beef Wheat Nomin al PQP Q GDP 2005 $4 12 $1. 22 0 6 0 11 $1. 23 4 0 15 $1. 24 5 9 5 2007 2006 $4. 5 $4. 6 LO 5 LO Real GDP (in 2006 price s) GDP Deflat or Inflation Rate (using GDP Deflator) CP I Inflation Rate (using CPI)
Suppose that in 2018, per-person GDP in the United States was $62,794, and in China, it was $9,770 (measured in 2011 U.S. dollars). It is accurate to say that the income level in the United States is China is characterized by a larger share of household production in total output than the United States is. O The United States is characterized by a larger share of household production in total output than China is. O China is characterized by a higher share of industrial production in total output than the United States is. O The large difference in income between the United States and China exceeds any underestimate of China's GDP as the result of its larger share of household production. Show Transcribed Text than in China. Why is this comparison accurate? Suppose that in 2018, per-person GDP in the United States was $62,794, and in China, it was $9,770 (measured in 2011 U.S. dollars). It is accurate to say that the income level in the United States is O China is characterized by a…
When people living in America spend $10,000 to buy imported goods at the shopping mall, how does this affect U.S. GDP? O GDP decreases because we are buying foreign goods and not American goods. O GDP is not affected because the goods are not produced in America. O GDP increases by $10,000 because the consumers live in America. O GDP increases by an amount equal to the value added by the stores in the shopping mall. W ASUS 8 R
Suppose that Russia produces 10,000,000 barrels of oil and 1,000 bushels of wheat each week. Suppose that India produces 10657 barrels of oil and 10657 bushels of wheat each week. In autarky, what is the largest amount of wheat Russia can consume every week? amount of wheat per week: What does the term autarky refer to? O a major argument against globalization government policies meant to reduce international trade the process of negotiating terms of trade between two countries a situation where one country does not engage in trade with other countries bushels
3
18. If consumers in the U.S. buy $3.5 billion of clothes made by businesses in Bangladesh, how is this accounted for in the expenditure categories? a. this is spending on a consumer good so GDP rises b. the clothes are imports so they reduce GDP c. the clothes are both consumer goods and imports so GDP doesn't change d. the GDP could rise or fall, it depends on whether the clothes were taxed
Suppose that United States produces 10,000,000 barrels of oil and 1,000 bushels of wheat each week. Suppose that China produces 14329 barrels 14329 barrels of oil and 14329 bushels 14329 bushels of wheat each week. In autarky, what is the largest amount of wheat United States can consume every week? amount of wheat per week:___________ bushels What does the term autarky refer to? a. a major argument against globalization b. a situation where one country does not engage in trade with other c. countries d. the process of negotiating terms of trade between two countries e. government policies meant to reduce international trade
Assume an economy with a coal producer, a steel producer, and some consumers. (There is no government.) In a given year, the coal producer produces 15 million tonnes of coal and sells it for $6 per tonne. The coal producer pays $70 million in wages to consumers. The steel producer uses 45 million tonnes of coal as an input into steel production, all purchased at $6 per tonne. Of this, 15 million tonnes of coal comes from the domestic coal producer, and 30 million tonnes is imported. The steel producer produces 20 million tonnes of steel and sells it for $35 per tonne. Domestic consumers buy 16 million tonnes of steel, and 4 million tonnes are exported. The steel producer pays consumers $40 million in wages. All profits made by domestic producers are distributed to domestic consumers. a. Determine GDP using (i) the product approach, (ii) the expenditure approach, and (iii) the income approach. (i) Using the product approach, the value added by the coal producer is $ million, the value…
46