Macroeconomics
13th Edition
ISBN: 9780134735696
Author: PARKIN, Michael
Publisher: Pearson,
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Question
Chapter 21, Problem 4SPA
(a)
To determine
Determine the value of GDP in 2014.
(b)
To determine
Explain the aggregate expenditure method.
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Students have asked these similar questions
a) Give the definition of GDP and explain what items are not included in its calculation?
How do you calculate potential GDP when you are given this chart?
A. The table below shows the national income of a country in 2012. Use the data to answer the
questions that follow:
ITEMS
$ MILLIONS
Personal Consumption Expenditure
640.00
Gross private Domestic Investment
180.00
Government Expenditure
220.00
Exports of goods and services
175.00
Imports of goods and services
202.00
Subsidies
48.00
Indirect business taxes
322.00
Consumption of fixed capital
115.00
Net property income from Abroad
80.00
i.
Define Gross Domestic Product (GDP
ii.
Calculate the:
a. Gross Domestic Product (GDP)
b. Gross National Product (GNP)
Chapter 21 Solutions
Macroeconomics
Ch. 21.1 - Prob. 1RQCh. 21.1 - Prob. 2RQCh. 21.1 - Prob. 3RQCh. 21.2 - Prob. 1RQCh. 21.2 - Prob. 2RQCh. 21.2 - Prob. 3RQCh. 21.2 - Prob. 4RQCh. 21.2 - Prob. 5RQCh. 21.3 - Prob. 1RQCh. 21.3 - Prob. 2RQ
Ch. 21.3 - Prob. 3RQCh. 21.3 - Prob. 4RQCh. 21.3 - Prob. 5RQCh. 21 - Prob. 1SPACh. 21 - Prob. 2SPACh. 21 - Prob. 3SPACh. 21 - Prob. 4SPACh. 21 - Prob. 5SPACh. 21 - Prob. 6SPACh. 21 - Prob. 7SPACh. 21 - Prob. 8SPACh. 21 - Prob. 9APACh. 21 - Prob. 10APACh. 21 - Prob. 11APACh. 21 - Prob. 12APACh. 21 - Prob. 13APACh. 21 - Prob. 14APACh. 21 - Prob. 15APACh. 21 - Prob. 16APACh. 21 - Prob. 17APACh. 21 - Prob. 18APACh. 21 - Prob. 19APACh. 21 - Prob. 20APACh. 21 - Prob. 21APACh. 21 - Prob. 22APACh. 21 - Prob. 23APACh. 21 - Prob. 24APACh. 21 - Prob. 25APACh. 21 - Prob. 26APACh. 21 - Prob. 27APACh. 21 - Prob. 28APA
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Similar questions
- a. Answer the following questions based on above table i. Calculate Canada GDP. ii. Explain the approach (expenditure or income) that you used to calculate the Canada GDP.arrow_forwarda) Give the definition of GDP and explain what items are not included in its calculation? What is the current environment in the USA and Australia?b) Define unemployment and its measurement. What is the current environment in the USA and Australia?arrow_forwarda) Give the definition of GDP and explain what items are not included in its calculation? What is the current environment in the USA and Australia? b) Define unemployment and its measurement. What is the current environment in the USA and Australia?arrow_forward
- What is GDP? What are the major components of GDP measured by the expenditure method?arrow_forwardWhat is the term for the total value of goods and services produced within a country's borders in a given year? A. Gross national product (GNP) B. Gross domestic product (GDP) C. Net exports D. Aggregate demandarrow_forwardIf General Motors builds cars in Germany, is their value counted in Germany's GDP?arrow_forward
- a. Write an essay Explaining concisely whether the following statement is true or false: “The GDP of a country does provide an accurate indicator of the welfare of its citizens”arrow_forwardWhat is gdp and how do I calculate it?arrow_forwardGDP 1. Calculate the values for the blanks in the shaded areas of the table below: Expenditure Components of GDP by Country, 2020 (83Son of current US dollars) Australia Canada Denmark Finland Japan India 1617 137.9 873 65.9 C E FOOD 80.0 65.3 16 0.5 L M N 195.4 97.G 1725 96.7 Household consumption Government expenditure Investments Gross fixed Investments Changes in inventories Net Exports Exports Imports A: ÄÜÄ÷ B: C: D: E: F: G: H: I: J: 746.5 K: L: 297.2 A 316.9 4.3 3152 254.7 943.7 371.8 B 377.7 (147) K 476.0 509.8 M: N: 0: P: 1,591.7 Q: R: 292.1 722.0 97.0 4973 $11.3 કીડી || T: 2.700.7 Y: 1,066.4 1,279.5 106 785.4 786.2 New Zealand UK 122.0 43.7 G 47.3 (p.s) P 46A GDP S U W Y Source: GOP by Type of Expenditure at current prices-US dollars, Retrieved 7/27/2022. National Accounts Estimates of Main Aggregates United Nations feste Division 472 Z: ZZ: 1,683.7 2. Based on the information in the table and your calculations for Question #1: Do any countries have positive net exports?…arrow_forward
- What are GDP concept and naturearrow_forwardThe table lists some national accounts data for the United States in 2008 Calculate U.S GDP in 2008. Explain the approach (expenditure or income)that you used to calculate GDP. Item Billions of Dollars Wages Paid to labor 8,000 Consumption expenditure 10,000 Net operation surplus 3,200 Investment 2,000 Government expenditure 2,800 Net exports -700 Depreciation 1,800arrow_forward1. The following prices and quantities produced were recorded in computer land during the years shown and Calculate the following and show your work. a) What was the percentage change in nominal GDP from 1993 to 1994? b) What was the percentage change in nominal GDP from 1992 to 1993?arrow_forward
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