economics chapter 7 Measuring the Aggregate Economy Quiz
GDP is the:
A. market value of an economy's production of final goods and services in a one year period.
Payments to the owners of firms are included in the national income and product accounts as:
A. profits.
Which of the following would increase this year's GDP?
B. A commission charged by your broker when you sold 100 shares of Borden stock.
Which of the following is a part of GDP?
B. The value of a haircut.
Given the above information, national income equals:
C. $3900.
Which of the following is not included in GDP but is included in GNP?
C. Economic activity of U.S. citizens working abroad.
In what category is the purchase of a computer by a business in the National Income Accounts?
C. It is a form of investment spending.
Which of the following is an example of an intermediate product?
C. The lumber produced by Boise Cascade and sold to a builder of old houses.
The largest component of national income is:
C. employee compensation.
Using the expenditure approach, gross domestic product equals:
D. the sum of consumption, investment, government purchases and net exports.