Answered: Calculate GDP for an economy

Business

Economics

Calculate GDP for an economy

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter15: Measuring A Nation's Income

Section: Chapter Questions

Problem 5CQQ

See similar textbooks

Related questions

Q: Many financial analysts use GDP as a measure of the economy's performance. However, GDP has several…

A: This concept can be defined as a tool that helps in measuring the total amount of production of…

Q: xplain how GDP is used in the calculation of a recession or economic growth. What is a recession?…

A: Economic growth: An increase in the total output of an economy. Intermediate goods: Products that…

Q: The following table shows data on con mption, investments, exports, Imports, and government…

A: A crucial economic metric, the gross domestic product (GDP) represents the total value of all goods…

Q: If consumption is $15 trillion, investment spending $8 trillion, government purchases $7 trillion,…

A: C or Consumption expenditure is the expenditure incurred on the consumption by households.G or…

Q: 3. Categories of expenditures Tim and Alyssa Espinosa live in Swarthmore, PA. Their son, Brian, owns…

A: The components of GDP are consumption spending, investment spending, government purchases and net…

Q: 16. ● ● Write the name of the three missing categories of expenditure that contribute to a country's…

A: Gross domestic product refers to the total market value of goods and services produced domestically…

Q: d. Calculate 2013 government purchases of goods and services and government investment spending. e.…

A: => Government purchases of goods and services and investment spending are $3125.5 = $1245.9 +…

Q: In Zionville, GDP is $26,500. Consumption spending is $12,000, Investment spending is $5000, exports…

A: GDP is the sum of consumption(C) investment(I), government expenditure(G) and net export(NX)

Q: GDP in an economy is $12,050 billion. Consumer expenditures are $8,500 billion, government purchases…

A: The formula is: NX=GDP-C-I-G NX=Net exports C=Consumer expenditures I=gross investment G=government…

Q: Country A has export sales of $20 billion, government purchases of $1,000 billion, business…

A: Gross Domestic Product or the GDP refers to the final value of all the finished goods and services…

Q: )Suppose you are given the following information about the New Zealand economy, with the values in…

A: Gross domestic product refers to the market value of all final goods and services produced in an…

Q: 1- The four expenditure categories of GDP consist on consumption, government purchases, investment,…

A: We are going to define the definitions of Gross Domestic product to answer this question.

Q: The four parts of Gross Domestic Product (GDP) are:

A: Gross domestic product refers to monetary value of all goods and services produced within the…

Q: List the four components of GDP .

A: Gross domestic product (GDP): - GDP is the market value of all final goods and services produced in…

Q: 72. Which of the following expenditures would increase the consumption component of GDP?

A: Under the expenditure approach, GDP is equal to the total amount of money spent on personal…

Q: Suppose we have a two good economy that produces beef and soy.The price of a unit of beef = $19 and…

A: Price of a unit of beef = $19 Price of a unit of soy = $14 Quantity of beef produced = 125 units…

Q: The Equivalence of Expenditure and Income (in Billions of Dollars) Expenditure C: Consumer goods and…

A: When comparing the economic performance of other nations, monitoring economic growth over time, and…

Q: In 1999 in the economy of Microtania, Consumption was $7, Investment was $5, Government spending was…

A: The gross domestic product is the total value of all the final goods and services produced in an…

Q: Holly has recently graduated from college and has bought a house that was built 50 years ago for…

A: GDP can be understood as the final value of goods and services produced in an economy during a year.…

Q: If in some country personal consumption expenditures in a specific year are $50 billion, purchases…

A: The gross domestic product shows the value of all final goods and services which is produced in the…

Q: Darnell and Eleanor Cohen live in Conshohocken, PA. Their son, Jacques, owns his own plumbing…

A: GDP Examples: GDP is computed with the following formula GDP = C+I+G+MX. C is the money spent on the…

Q: Darnell and Eleanor Cole live in Conshohocken, PA. Their son, Jacques, owns his own plumbing…

A: Gross domestic product (GDP) measures the market value of final goods and services produced within…

Q: Consumption is $5.5 trillion, investment is $1 trillion, government expenditures are $1.5 trillion,…

A: Gross Domestic product (GDP) refers to the value of final goods and services produced in an economy…

Q: Use the information below Consumer spending = $200 million Capital Consumption Allowance = $80…

A: The GDP (gross domestic product) is calculated using either the expenditure approach or the resource…

Q: 1. Using at least two methods to calculate GDP, describe what comprises Oman's economy. Make sure to…

A: The Middle Eastern economy is notable for its blend of oil-dependent and expanding non-oil sectors.…

Q: List and describe the components of Gross Domestic Product on the demand side. Provide an example of…

A: Gross Domestic Product (GDP) is the total value of goods and services produced within a country's…

Q: 3. Categories of expenditures Dmitri and Frances Doherty live in Conshohocken, PA. Their son, Jake,…

A: Aggregate expenditure is the sum of consumption, investment, government expenditure and net exports…

Q: Please explain the relationships between income, consumption, savings, and GDP. Define each one.…

A: Income is the financial gain earned during a particular period of time.Consumption spending is the…

Q: 1. Which of the following are included in this year’s GDP? Explain your answer in each. A 2-hour…

A: Introduction Gross domestic product is the total sum of market value of final goods and services…

Q: The figure shows the flows of expenditure and income in an economy. In 2013, U was $2.0 trillion, V…

A: The circular flow of income and expenditure signifies the model of an economy in which the income…

Q: In 2020, Delorse Greenlee purchased a 1892 painting by Paul Cezanne for $250 million. She also paid…

A: Here, it is given that Delores Greenlee buys a 1892 painting by Paul Cezanne for $250 million and…

Q: 20. Which of the following represents the measurement of GDP as the sum of consumption…

A: GDP is the final value of all the goods and services which are produced within the domestic economy…

Question

3. Calculate GDP for an economy with exports of $5 trillion, investment of $1.5 trillion, consumption spending of $11 trillion, imports of $6 trillion, government purchases of $3 trillion.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

GDP and its FOMRULA

VIEW

ANSWER

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

What are the main components of measuring GDP with what is produced?
72. Which of the following expenditures would increase the consumption component of GDP? A. You buy a new house. B. You buy a pizza. C. You buy 1,000 shares of stock. D. You buy a used book about finance
16. Write the name of the three missing categories of expenditure that contribute to a country's GDP. exports Draw a picture that accurately represents each category. Several pictures or categories are already filled in for you. consumption + 1 + = + GDP
economic
Consumption is $5.5 trillion, investment is $1 trillion, government expenditures are $1.5 trillion, transfer payments are $.5 trillion, exports are $.75 trillion and imports are $1.25 trillion. What is GDP?
1
If in some country personal consumption expenditures in a specific year are $50 billion, purchases of stocks and bonds are $30 billion, net exports are – (negative) $10 billion, government purchases are $30 billion, sales of second-hand items are $8 billion, and gross investment is $35 billion, what is the country’s GDP for the year? Select one: a. $125 billion b. $85 billion c. $95 billion d. $105 billion
OMAN'S ECONOMIC PROFILE The Sultanate of Oman has had extraordinary economic development since 2004, primarily due to the exploitation of its oil reserves. However, growth rates declined in 2019 to 0.5% as oil production remains capped by the OPEC production cut agreement, and also because of the slowdown in household consumption. AS percentage of GDP, net exports account to roughly 12%. Oman has a relatively healthy economic and financial situation. Its government debt (estimated at 38.9% in 2019) is small compared to its gold and foreign currency reserves, although is expected to grow in the coming years. As of 2019, government expenditures as a part of GDP accounts to 24.9% (The World Bank, 2021). Oman Private Consumption contribution to GDP has an average share of 40.6 % (CEIC, 2020). The industrial sector accounts for 46.7% of GDP and employs 36.1% of the workforce (World Bank). Its share has increased considerably in the last two decades (employment in industries was as low as…
• Holly has recently graduated from college and has bought a house that was built 50 years ago for $100,000. She used a real estate agent to help her find and purchase the house, and the real estate agent received 5 percent of the value of the sale, or $5,000, to be paid by the seller of the house. The value of GDP in this case would increase by $95,000. increase by $105,000 increase by $5,000. increase by $100,000.
In Zionville, GDP is $26,500. Consumption spending is $12,000, Investment spending is $5000, exports are $2000, and imports are $500. What is government spending? Question 4 options: A) $6500 B) $8000 C) $3000 D) $7000
List and describe the components of Gross Domestic Product on the demand side. Provide an example of each component. Also, be sure to account for the relative size of each component within the total GDP.
d. Calculate 2013 government purchases of goods and services and government investment spending. e. Calculate 2013 gross domestic product. f. Calculate 2013 consumer spending on services as a percentage of total consumer spending.