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Consider the following NIPA Data Durable goods Nonresidential investment Federal purchases of goods Exports State and local purchases of goods $Billions 800 400 300 400 200

Consider the following NIPA Data Durable goods Nonresidential investment Federal purchases of goods Exports State and local purchases of goods $Billions 800 400 300 400 200

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Consider the following NIPA Data

 

 USE THE DATA ABOVE TO ANSWER QUESTIONS A-F

  1. PCE=C=__________
  2. GPDI=I-=____________
  3. GOV=G=_______________
  4. NET EXPORTS=NX=____________
  5. GDP=________________
  6. COMPUTE THE SHARES OF EACH OF THE FOUR MAIN CATEGORIES IN GDP
 
**NIPA Data Analysis** ### Table: Economic Data ($Billions) - **Durable goods**: $800 - **Nonresidential investment**: $400 - **Federal purchases of goods**: $300 - **Exports**: $400 - **State and local purchases of goods**: $200 - **Residential investment**: $50 - **Services**: $500 - **Imports**: $250 - **Change in business inventories**: -$25 - **Nondurable goods**: $700 ### Questions **Use the data above to answer the following:** A. **Personal Consumption Expenditures (PCE) = C = ________** B. **Gross Private Domestic Investment (GPDI) = I = ________** C. **Government Purchases (GOV) = G = ________** D. **Net Exports (NX) = ________** E. **Gross Domestic Product (GDP) = ________** F. **Compute the shares of each of the four main categories in GDP.** --- In addition, consider including calculations and explanations for each component, demonstrating how to compute GDP using the expenditure approach: - **Personal Consumption Expenditures (PCE) = Durable goods + Nondurable goods + Services** - **Gross Private Domestic Investment (GPDI) = Nonresidential investment + Residential investment + Change in business inventories** - **Government Purchases (GOV) = Federal purchases of goods + State and local purchases of goods** - **Net Exports (NX) = Exports - Imports** Finally, **GDP = C + I + G + NX**. Include detailed explanations on how to calculate each component's share in GDP, enhancing learners' understanding of national income accounting.
Transcribed Image Text:**NIPA Data Analysis** ### Table: Economic Data ($Billions) - **Durable goods**: $800 - **Nonresidential investment**: $400 - **Federal purchases of goods**: $300 - **Exports**: $400 - **State and local purchases of goods**: $200 - **Residential investment**: $50 - **Services**: $500 - **Imports**: $250 - **Change in business inventories**: -$25 - **Nondurable goods**: $700 ### Questions **Use the data above to answer the following:** A. **Personal Consumption Expenditures (PCE) = C = ________** B. **Gross Private Domestic Investment (GPDI) = I = ________** C. **Government Purchases (GOV) = G = ________** D. **Net Exports (NX) = ________** E. **Gross Domestic Product (GDP) = ________** F. **Compute the shares of each of the four main categories in GDP.** --- In addition, consider including calculations and explanations for each component, demonstrating how to compute GDP using the expenditure approach: - **Personal Consumption Expenditures (PCE) = Durable goods + Nondurable goods + Services** - **Gross Private Domestic Investment (GPDI) = Nonresidential investment + Residential investment + Change in business inventories** - **Government Purchases (GOV) = Federal purchases of goods + State and local purchases of goods** - **Net Exports (NX) = Exports - Imports** Finally, **GDP = C + I + G + NX**. Include detailed explanations on how to calculate each component's share in GDP, enhancing learners' understanding of national income accounting.
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Answer D, E, F please 

Consider the following NIPA Data Durable goods Nonresidential investment Federal purchases of goods Exports State and local purchases of goods Residential investment Services Imports Change in business inventories Nondurable goods $Billions 800 400 300 400 200 50 500 250 -25 700 USE THE DATA ABOVE TO ANSWER QUESTIONS A-F A. PCE=C= B. GPDI-I-= C. GOV=G=_ D. NET EXPORTS=NX= E. GDP= F. COMPUTE THE SHARES OF EACH OF THE FOUR MAIN CATEGORIES IN GDP
Transcribed Image Text:Consider the following NIPA Data Durable goods Nonresidential investment Federal purchases of goods Exports State and local purchases of goods Residential investment Services Imports Change in business inventories Nondurable goods $Billions 800 400 300 400 200 50 500 250 -25 700 USE THE DATA ABOVE TO ANSWER QUESTIONS A-F A. PCE=C= B. GPDI-I-= C. GOV=G=_ D. NET EXPORTS=NX= E. GDP= F. COMPUTE THE SHARES OF EACH OF THE FOUR MAIN CATEGORIES IN GDP
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