Chapter 3.B, Problem 69E

Personal Consumption. The Bureau of Economic Analysis estimates that in 2015, personal consumption expenditures of Americans totaled $12.3 trillion. The major categories of these expenditures were durable goods ($1.36 trillion; for example, cars, furniture, recreational equipment), nondurable goods ($2.66 trillion; for example, food, clothing, fuel), and services ($8.3 trillion; for example, health care, education, transportation).

a. What was the approximate annual per capita spending on personal consumption? Assume a population of 321 million.

b. What was the approximate daily per capita spending on personal consumption?

c. On average, about what percentage of personal consumption spending was devoted to services? Is this figure consistent with your own spending?

d. Spending on health care was estimated to be $2.1 trillion. About what percentage of all personal consumption spending was devoted to health care?

e. In 2000, the total spending on personal consumption was $6.8 trillion, while health care spending was $918 billion. Compare the percentage increase in total spending and health care spending between 2000 and 2015.