Component of GDP affected: Effect on GDP Scenario С, 1, G, X-M, оr NC- not counted (increase, decrease, no change) 1. A farmer purchases a new tractor. 2. Businesses increase their current inventories. 3. You spend $7 to attend a movie. 4. Worried about consumer confidence, Ford purchases less sheet metal for cars. 5. A retired man cashes his social security check from the government. 6. A French company purchases a one-year membership to PartyPeople.com, a U.S.-based 7. A person pays $450 a month to rent an apartment. 8. Worried about a recession, people begin saving more money. 9. The U.S. government hires 10 Chinese-language experts from China to train U.S. workers. 10. Government closes school for the month of March.
Component of GDP affected: Effect on GDP Scenario С, 1, G, X-M, оr NC- not counted (increase, decrease, no change) 1. A farmer purchases a new tractor. 2. Businesses increase their current inventories. 3. You spend $7 to attend a movie. 4. Worried about consumer confidence, Ford purchases less sheet metal for cars. 5. A retired man cashes his social security check from the government. 6. A French company purchases a one-year membership to PartyPeople.com, a U.S.-based 7. A person pays $450 a month to rent an apartment. 8. Worried about a recession, people begin saving more money. 9. The U.S. government hires 10 Chinese-language experts from China to train U.S. workers. 10. Government closes school for the month of March.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Please complete the table
Transcribed Image Text:Component of GDP
affected:
Effect on GDP
Scenario
С, 1, G, X-M, оr NC-
(increase, decrease,
no change)
not counted
1. A farmer purchases a new tractor.
2. Businesses increase their current inventories.
3. You spend $7 to attend a movie.
4. Worried about consumer confidence, Ford
purchases less sheet metal for cars.
5. A retired man cashes his social security check from
the government.
6. A French company purchases a one-year
membership to PartyPeople.com, a U.S.-based
7. A person pays $450 a month to rent an apartment.
8. Worried about a recession, people begin saving
more money.
9. The U.S. government hires 10 Chinese-language
experts from China to train U.S. workers.
10. Government closes school for the month of March.
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