Econ GDP

The economy of Sodaland produces only two goods, namely Cokes and Pepsis. The following table shows the quantities of each good produced in 2019 and 2020, as well as their prices each year. Q (Coke) P (Coke) Q (Pepsi) P (Pepsi) 2019 5$1.006$1.50 20206$1.257$1.15 Question: what was nominal GDP in 2020?

$15.55

The economy of Sodaland produces only two goods, namely Cokes and Pepsis. The following table shows the quantities of each good produced from 2015 to 2020, as well as their prices each year. Q (Coke) P (Coke) Q (Pepsi) P (Pepsi) 2016 6$1.057$1.75 2017 5$1.007$2.00 2018 6$1.108$2.00 2019 5$1.109$1.50 20206$1.157$2.00 Question: using constant prices from 2016, what was real GDP in 2020?

$18.55

Recall that GDP is the sum of consumption, investment, government purchases, and net exports. If GDP (measured in billions of current dollars) is $5,465, consumption is $3,657, investment is $741, and net exports are -$1,910, then government purchases are:

$2,977.

The economy of Sodaland produces only two goods, namely Cokes and Pepsis. The following table shows the quantities of each good produced from 2015 to 2020, as well as their prices each year. Q (Coke) P (Coke) Q (Pepsi) P (Pepsi) 2016 6$1.057$1.75 2017 5$1.007$2.00 2018 6$1.108$2.00 2019 5$1.109$1.50 20206$1.157$2.00 Question: using constant prices from 2016, what was real GDP in 2018?

$20.3

The economy of Sodaland produces only two goods, namely Cokes and Pepsis. The following table shows the quantities of each good produced from 2015 to 2020, as well as their prices each year. Q (Coke) P (Coke) Q (Pepsi) P (Pepsi) 2016 6$1.057$1.75 2017 5$1.007$2.00 2018 6$1.108$2.00 2019 5$1.109$1.50 20206$1.157$2.00 Question: using constant prices from 2016, what was real GDP in 2019?

$21.00

Assume that an economy produces 4 apples and 6 oranges and that apples cost $1 each and oranges cost $0.50 each. In this case, the value of GDP is:

$7.

Recall that GDP is the sum of consumption, investment, government purchases, and net exports. If GDP (measured in billions of current dollars) is $5,465 and the sum of consumption, investment, and government purchases is $5,496, while exports equal $673, imports are:

$704.

Recall that GDP is the sum of consumption, investment, government purchases, and net exports. If GDP (measured in billions of current dollars) is $5,465, consumption is $3,657, investment is $741, and government purchases are $1,098, then net exports are:

-$31.

Table: U.S. 2010 and 2015 Expenditures ($ billions) 2010 2015 Consumption10,20212,284Investment 2,0392,963Exports 1,8522,264Imports 2,3652,786Government expenditure 3,1743,218 Based on the table above, what was the value of net exports in 2010?

-$513

All of the following transactions that took place in 2019 would be included in GDP for 2019 except the purchase of a:

2011 Jeep Cherokee.

Which of the following transactions is counted as an export when computing the value of GDP?

Boeing sells an aircraft to Air France

Which of the following transactions is counted as investment when computing the value of GDP?

Boeing sells an aircraft to American Airlines

Which of the following transactions is counted as government purchases when computing the value of GDP?

Boeing sells an aircraft to the US Forest Service to support firefighters on the ground

Which of the following transactions is counted as consumption when computing the value of GDP?

Boeing sells an airplane to a famous Hollywood actor

Consumption expenditures include all of the following transactions except:

a family purchases a new house

When GM produces a car, GDP increases in all of the following cases except when the car:

does not pass quality standards and is scrapped.

When bread is baked but put away for later sale, this is called:

Inventory investment

All of the following actions are investments in the sense of the term used by macroeconomists except:

Sandra Santiago's buying 100 shares of IBM stock.

The market value of all final goods and services produced within an economy in a given period of time is called:

gross domestic product.

The following table shows the GDP and population of countries A and country B, both measured in billions. Country A Country B GDP $34,000$32,000 Population 3.22.50 Based on the number in the table, country A has a _______ GDP than country B and country A has a _______ standard of living than country B (Use GDP per capita as a measure of standard of living).

higher; lower