Question

1) List the components of GDP in the output (expenditures) approach.

2) Please calculate the growth rate based on the following information:

U.S. GDP 2019 = 19.1 trillion dollars

U.S. GDP 2018 = 18.9 trillion dollars

U.S. GDP 2017 = 18.7 trillion dollars

What is the growth rate between 2017 and 2019?

What is the growth rate between 2018 and 2019?

3) Using the GDP Deflator, calculate the following in (B) billions:

                  Consumer              Government                Investment                Net Exports

2019:           Q       P                       Q       P                              Q       P                          Q       P

                  10 B   $6.00            20 B   $3.00                15 B   $8.00              -3 B    $10.00

2018:          Q       P                       Q       P                              Q       P                          Q       P

                    8 B   $7.00            18 B   $4.00                12 B   $7.00              -2 B    $12.00

What is the GDP Deflator?

4) Give an estimate of actual 2019 GDP for Vietnam, Indonesia, Brazil and Russia, and compare it to the U.S. What is your analysis?

Answer 1