Question

____ 13.   George buys and lives in a newly constructed home he paid $200 000 for in 2012. He sells the house in 2013 for $225 000. How is GDP impacted?

a.	The 2013 sale increases 2013 GDP by $225 000 and does nothing to 2012 GDP.
b.	The 2013 sale increases 2013 GDP by $25 000 and does nothing to 2012 GDP.
c.	The 2013 sale does not increase 2013 GDP and does nothing to 2012 GDP.
d.	The 2013 sale increases 2013 GDP by $225 000, and 2012 GDP is revised upward by $25 000.

____ 14.   Which of the following is included in GDP?

a.	the sale of stocks and bonds
b.	the estimated rental value of owner-occupied housing
c.	unpaid production of goods and services at home
d.	the sale of an old piece of jewellery

____ 15.   Which of the following is counted in GDP?

a.	the estimated value of housework
b.	the value of illegally produced goods and services
c.	the value of newly issued stocks and bonds
d.	the estimated value of housing services

Answer 1

1-the 2013 sale does not increase 2013 gdp and does nothing to 2012 gdp.

2-The estimated rental value of owner occupied housing is included in gdp .

Option D is incorrect because it is already counted in gdp.

Option A is incorrect because sale of stock and bonds not include in gdp.

Option C is incorrect because here is unpaid production.

So option B is the correct statement .

3-the estimated value of housing services is counted in gdp

So option D is the correct statement.

Option B is incorrect because illegal trade is not count in gdp.