Consider the following production chain for petrol. Assume that a Oil driller extracts crude oil, and sells this to a Refiner for $3.00 per litre. The Refiner refines this into petrol, and sells this to a Shipper for $3.30. The Shipper ships petrol, and sells this to a Retailer for $3.50 per litre. The Retailer sells a litre to a customer for $4.00. What is the contribution to GDP associated with this chain of activity?
Consider the following production chain for petrol. Assume that a Oil driller extracts crude oil, and sells this to a Refiner for $3.00 per litre. The Refiner refines this into petrol, and sells this to a Shipper for $3.30. The Shipper ships petrol, and sells this to a Retailer for $3.50 per litre. The Retailer sells a litre to a customer for $4.00. What is the contribution to GDP associated with this chain of activity?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Consider the following production chain for petrol. Assume that a Oil driller extracts crude oil, and sells this to a Refiner for $3.00 per litre. The Refiner refines this into petrol, and sells this to a Shipper for $3.30. The Shipper ships petrol, and sells this to a Retailer for $3.50 per litre. The Retailer sells a litre to a customer for $4.00. What is the contribution to GDP associated with this chain of activity?
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