ECO 201 Chapter 6
India has a GDP of 23,000 billion Indian rupees, and a population of 1.1 billion. The exchange rate is 50 rupees per U.S. dollar. Calculate the GDP per capita of India as measured in U.S. dollars.
$418
The Czech Republic has a GDP of 2,000 billion koruny. The exchange rate is 20 koruny per U.S. dollar. The Czech population is 20 million. Calculate the per capita GDP of the Czech Republic in U.S. dollars.
$5000
In 1980 Denmark had a GDP of $70 billion (measured in U.S. dollars) and a population of 5.1 million. In 2000, Denmark had a GDP of $160 billion (measured in U.S. dollars) s and a population of 5.3 million. By what percentage did Denmark's GDP per capita rise between 1980 and 2000?
120%
Consumption in the United States is about ____________ of GDP, and it moves relatively little over time.
68%
Which of the following is included in the calculated Gross Domestic Product?
A local ice cream store sells $17,000 worth of cones and sundaes on July 1.
___________ is about two-thirds of the demand side of GDP, but it moves relatively little over time.
Consumption
Ethiopia has a GDP of $8 billion (measured in U.S. dollars) and a population of 55 million. Costa Rica has a GDP of $9 billion (measured in U.S. dollars) and a population of 4 million. Calculate per capita GDP for each country.
Ethiopia = $145.00 Costa Rica = $2250.00
Which of the following statements is true?
GDP includes spending on recreation and travel, but it does not cover leisure time.
___________ is a small category that refers to the goods produced by one business that have yet to be sold to consumers, and are either still sitting in warehouses and on store shelves.
Inventories
_________ are now the largest single component of the supply side of GDP, representing over half of GDP.
Services
Which of the following is true?
The expansions and contractions of real world business cycles last varying lengths of time and often differ in magnitude.
If imports exceed exports, as in recent years, then __________ exists.
a trade deficit
Final goods or services used to compute GDP refer to:
goods and services purchased by the ultimate users.
Consumption is the purchase of goods and services by:
households
On the demand side of GDP, consumption by _____________ is the largest component of GDP, accounting for about two-thirds of the GDP in any year.
households
The nominal value of any economic statistic refers to the number that is actually announced at that time, while the ________________ refers to the statistic after it has been adjusted for inflation.
real value
Which of the following is included in GDP?
the fees charged for a stock broker's services
GDP is:
the value of all final goods and services produced domestically.
GDP does not directly include:
the value of intermediate goods sold during a period.
The gap between exports and imports in a nation's economy is called the ___________.
trade balance
