Wage rate $16 15 14 S 0 80 100 110 Reference: Ref8(23)-10 Figure: The Labor Market 200 Quantity of labor (in thousands) (Figure: The Labor Market) Use Figure: The Labor Market. The equilibrium wage rate is: A. $14. B. $16. C. $15. D. $17. Aggregate Expenditure ($) 3 Real GDP (Y) Which of the lines represents the C + I stacked functions? line 1 line 2 line 3 line 4 line 3 line 2 line 1

What does GDP not tell us about the economy?

Last year, a small nation with abundant forests cut down 200 worth of trees. It then turned 100 worth of trees into 150 worth of lumber. It used 100 worth of that lumber to produce $250 worth of bookshelves. Assuming the country produces no other outputs, and there are no other inputs used in producing trees, lumber, and bookshelves, what is this nations GDP? In other words, what is the value of the final goods the nation produced including trees, lumber and bookshelves?

What is potential GDP?