Country A has export sales of $ 2 0 billion, government purchases of $ 1 , 000 billion, business investment is $ 5 0 billion, imports are $ 4 0 billion, and consumption spending is $ 2 , 000 billion. What is the dollar value of GDP ?

Question

Want to see more full solutions like this?

Answer 1

Textbook Question

100%

Chapter 19, Problem 1SCQ

Country A has export sales of $ 2 0 billion, government purchases of $ 1 , 000 billion, business investment is $ 5 0 billion, imports are $ 4 0 billion, and consumption spending is $ 2 , 000 billion. What is the dollar value of GDP?

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

At the beginning of the year, the market for portable electric fans was in equilibrium. In June, a summer heat wave hit. What effect does the heat wave have on the market for fans? Drag the appropriate part(s) of the graph to show the effect on the market for portable fans. To refer to the graphing tutorial for this question type, please click here. Price 17 OF 21 QUESTIONS COMPLETED f4 Q Search f5 f6 f7 CO hp fg 6 M366 W ins f12 f11 f10 SUBMIT ANSWER ENG 4x

In the context of investment risk, what does "diversification" mean? A) Spreading investments across various assets to reduce riskB) Investing in a single asset to maximize returnsC) Increasing investment in high-risk assetsD) Reducing the number of investments to focus on high-performing ones

At the 8:10 café, there are equal numbers of two types of customers with the following values. The café owner cannot distinguish between the two types of students because many students without early classes arrive early anyway (that is she cannot price discriminate). Students with early classes Students without early classes Coffee 70 60 Banana 50 100 The MC of coffee is 10. The MC of a banana is 40. Is bundling more profitable than selling separately? HINT: if you sell the bundle, can you make more by offering coffee separately? If so, what price should be charged for the bundle? (Show calculations)

Answer 2

Textbook Question

100%

Chapter 19, Problem 1SCQ

Country A has export sales of $ 2 0 billion, government purchases of $ 1 , 000 billion, business investment is $ 5 0 billion, imports are $ 4 0 billion, and consumption spending is $ 2 , 000 billion. What is the dollar value of GDP?

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Textbook Question

100%

Chapter 19, Problem 1SCQ

Country A has export sales of $ 2 0 billion, government purchases of $ 1 , 000 billion, business investment is $ 5 0 billion, imports are $ 4 0 billion, and consumption spending is $ 2 , 000 billion. What is the dollar value of GDP?

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Textbook Question

100%

Chapter 19, Problem 1SCQ

Country A has export sales of $ 2 0 billion, government purchases of $ 1 , 000 billion, business investment is $ 5 0 billion, imports are $ 4 0 billion, and consumption spending is $ 2 , 000 billion. What is the dollar value of GDP?

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Textbook Question

100%

Answer 6

Textbook Question

100%

Answer 7

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Answer 8

Expert Solution & Answer

To determine

The Gross Domestic Product (GDP) of country A.

Answer to Problem 1SCQ

GDP= $3030 bn.

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

The Gross Domestic Product (GDP) of country A.

Answer 12

Answer to Problem 1SCQ

GDP= $3030 bn.

Answer 13

Explanation of Solution

Given Information:

Given values in the question are

C= $2,000 bn

I = $50 bn

G= $ 1,000 bn

X= $20 bn

M= $40 bn

Calculation:

So, substituting these values in the equation for GDP, we get,

GDP=$2000+$50+$1,000+($20−$40) =$2,000+$50+$1,000−$20 =$3,030 billion

Hence, The Gross Domestic Product (GDP) of country A is $3030 bn.

Answer 14

Economics Concept Introduction

Gross Domestic Product of a country: GDP of a country is the market value of all finished (final) goods and services produced in an economy during a particular year. It represents the economic well-being of a country as it is the aggregate income of that economy.

To define in terms of demand, GDP is the aggregate of all the expenditure by all economic units in an economy, namely, government purchases, private consumption expenditure, investment expenditure, expenditure on net exports(exports-imports), etc. The equation below defines GDP as the aggregate expenditure in the economy:

GDP = C + I + G + (X-M)

Where,

C = Consumption Expenditure

I= Business Investment Expenditure

G = Government Purchases

X = Exports

M= Imports