Use the following composition of expenditure for the economy of a country named the Republic of Tapuwa, for the year ended 2019 to answer the questions below: Show all calculations and formula Compute the value for the country’s GDP (Gross Domestic Product) at market price.

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter22: Inflation
Section: Chapter Questions
Problem 18RQ: What is deflation?
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Use the following composition of expenditure for the economy of a country named the Republic of Tapuwa, for the year ended 2019 to answer the questions below:

Show all calculations and formula

Compute the value for the country’s GDP (Gross Domestic Product) at market price.

 

COMPONENT
R millions
Consumption expenditure (C)
9 000
Investment (0
6 500
Government spending (G)
7 000
Exports (X)
1 800
Imports (Z)
2 400
Depreciation
700
Foreign payment to the rest of the
300
world
Foreign payment from the rest of the
250
world
Transcribed Image Text:COMPONENT R millions Consumption expenditure (C) 9 000 Investment (0 6 500 Government spending (G) 7 000 Exports (X) 1 800 Imports (Z) 2 400 Depreciation 700 Foreign payment to the rest of the 300 world Foreign payment from the rest of the 250 world
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