Suppose that inventories were $40 billion in 2012 and $50 billion in 2013. B) It is the difference between gross and net investment.
It used $18 million of the proceeds to replace obsolete equipment in its factory and $7 million to repay bank loans. A) It is the value of final output that represents capital used up over the period in question. Consumption of fixed capital (depreciation) can be determined by subtracting NDP from GDP. Ryder in March of 2008. (Advanced analysis) Only three goods are produced in an economy in the following amounts: A = 10, B = 30, C = 5. Consumption of fixed capital (depreciation) can be determined by: subtracting NDP from GDP. If depreciation (consumption of fixed capital) exceeds domestic investment, we can conclude that: A. nominal GDP is rising but real GDP is declining. CorrectBy summing the dollar value of all market transactions in the economy, we wouldNominal GDP is adjusted for price changes through the use ofAll expenditures on new construction are included as investment in calculating GDP.excluded when calculating GDP because they do not reflect current production. real GDP-measures the value of goods and services adjusted for change in price levels-adjusted for inflation. As a result, investment:(Last Word) Which of the following is a source of data for the consumption component of the U.S. GDP?Disposable income measures the before-tax income received by resource suppliers.understate economic welfare because it does not take into account increases in leisure.In national income accounting, government purchases include:purchases by Federal, state, and local governments.If net foreign factor income is zero and there are no statistical discrepancies, the sum of national income and the consumption of fixed capital equals:In an economy experiencing a persistently falling price level:changes in nominal GDP understate changes in real GDP.In 1933, net private domestic investment was a minus $6.0 billion. The current year per-unit prices of these three goods are A = $2, B = $3, and C = $1. We can conclude that:The ZZZ Corporation issued $25 million in new common stock in 2008. B. net investment is negative. C. Depreciation or consumption of fixed capital.
In 2008, accountants would:subtract $10 billion from other elements of investments in calculating total investment.Assume that in 2002 the nominal GDP was $350 billion and in 2003 it was $375 billion. Which of the following statements about depreciation is NOT correct? It sells 10,000 cubic yards of concrete at $30 a cubic yard.
To make the 2010 GDP comparable with the base year GDP, the 2010 GDP must be:Assume that the size of the underground economy increases both absolutely and relatively over time. We can conclude that:If in some year gross investment was $120 billion and net investment was $65 billion, then in that year the country's capital stock:The ZZZ Corporation issued $25 million in new common stock in 2008. nominal GDP. Which of the following is not economic investment? If real GDP in a particular year is $80 billion and nominal GDP is $240 billion, the GDP price index for that year is:
depreciation. consumption of fixed capital. GDP in year 2 is:In a typical year, which of the following measures of aggregate output and income is likely to be the smallest?Which of the following do national income accountants consider to be investment?Suppose a nation's 2010 nominal GDP was $972 billion and the general price index was 90. As a result:GDP will tend to increasingly understate the level of output through time.The total amount of income earned by U.S. resource suppliers in a year, plus taxes on production and imports, is measured by:If real GDP in a particular year is $80 billion and nominal GDP is $240 billion, the GDP price index for that year is:total investment less the amount of investment goods used up in producing the year's output.Suppose the total monetary value of all final goods and services produced in a particular country in 2010 is $500 billion and the total monetary value of final goods and services sold is $450 billion.
This bicycle is counted as:investment in 2007 and as negative investment in 2008.a firm's output less the value of the inputs bought from others.Setup Corporation buys $100,000 of sand, rock, and cement to produce ready-mix concrete.
D) Gross investment is the amount by which the value of capital increases.
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