Consider an economy that only produces the two goods of Pizza and Calzones. What is Nominal GDP if 10 Calzones are sold at $20 each and 5 pizzas are sold at $100 each ? A. $100 B. $500 C. $700 D. $1,300 E. $900

How is GDP defined? What are the components? Explain the difference among nominal GDP, real GDP and the GDP deflator.  If an activity is “off the books”, is it counted in GDP?

Question 40 In the economy of Ukzten in 2010, consumption was $1000, exports were $100, government purchases were $450, imports were $150, and investment was $350. What was Ukzten's GDP in 2010? A. $1750 B. $1900 C. $1850 OD. $2050 0.

Read the news clip, then answer the following question. The statement that total sales by businesses were up 0.3 percent means that GDP because OA. Increased by 0.3 percent; GDP is a record of the value of all production B. decreased by 0.3 percent; "total sales by businesses are sales of intermediate goods and services OC. did not change by 0.3 percent, GDP measures production of all final goods and services and "total sales by businesses includes final and intermediate goods and services OD. increased by less than 0.3 percent; we need to subtract retail sales of 1.3 percent from the total sales by businesses to eliminate double counting OE. increased by more than 0.3 percent; "total sales by businesses includes only sales of intermediate goods and services Expansion remains slow The Commerce Department reported that retail sales increased 1.3 percent in Net exports were up 0.8 percent in the first quarter and inventories held by businesses rose by 0.3 percent in June. Total sales by…