Suppose Gus spent a total of $150 for 1100 fluid ounces of Windex in 2017 and a total of $160 for 1000 fluid ounces of Windex in 2018. Gus's real consumption of Windex in 2018 was _____ his real consumption level in 2017. Gus's nominal consumption of Windex in 2018 was _____ his nominal consumption level in 2017.

In the first quarter of 2020, US real GDP declined about 9%, due to the economics shocks from the Covid 19 virus. If prices were completely flexible, and this means all prices, both inputs (such as labor), as well as output prices, what would you think would have been the drop in GDP? If prices are completely fixed, would the drop in GDP be greater or less than the flexible case? Why? If the Expenditure method of accounting for GDP, has to equal the Income Side, and the economy overproduces a particular item, say automobiles, the income side will also be higher, workers will buy the extra cars with extra income and the economy can gyrate indefinitely higher? Why or why not?

The seasonally adjusted data below depict the performance of the economy of the United States in five quarters of 1953-1954. Year/Quarter 1953/Q4 1954/Q1 1954/02 1954/Q3 1954/04 Select one: OA. 1953/04. Annual Percent Change Nominal GDP OB. 1954/01 O C. 1954/02. O D. 1954/03. QE. 1954/04. -5.2 -0.6 0.8 5.1 9.2 Real GDP in the United States was lowest in which of the following quarters? Annual Percent Change Real GDP -5.9 -1.9 0.4 4.6 8.1

Explain how net exports affect the U.S. economy.Describe both positive and negative impacts onGDP. Why do national income accountants usenet exports to compute GDP, rather than simplyadding exports to the other expenditure componentsof GDP?

Assume an economy with a coal producer, a steel producer, and some consumers. (There is no government.) In a given year, the coal producer produces 15 million tonnes of coal and sells it for $6 per tonne. The coal producer pays $70 million in wages to consumers. The steel producer uses 45 million tonnes of coal as an input into steel production, all purchased at $6 per tonne. Of this, 15 million tonnes of coal comes from the domestic coal producer, and 30 million tonnes is imported. The steel producer produces 20 million tonnes of steel and sells it for $35 per tonne. Domestic consumers buy 16 million tonnes of steel, and 4 million tonnes are exported. The steel producer pays consumers $40 million in wages. All profits made by domestic producers are distributed to domestic consumers. a. Determine GDP using (i) the product approach, (ii) the expenditure approach, and (iii) the income approach. (i) Using the product approach, the value added by the coal producer is $ million, the value…

H10.