Question

Explain how gross domestic product is calculated using each of the following: the income approach and...

Explain how gross domestic product is calculated using each of the following: the income approach and the expenditure approach.

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

GDP is the final production value of goods and services that is produced within the domestic boundary of a country in a financial year

it is generally measured and quarterly or yearly basis

by expenditure method GDP It is the sum of consumption ,business investment ,government spending and net exports

Where net export is the difference of export and import

the second approach is income approach in which says that GDP is the total income generated by the production of all economic goods and services

it added all the factor of productionWhich includes total national income and net foreign factor income

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Using the following national income accounting data, compute (a) Gross Domestic Product in Income and expenditure...
Using the following national income accounting data, compute (a) Gross Domestic Product in Income and expenditure approach (b) Net Domestic Product, (c) National Income, (d) Personal Income and (e) Disposable Income Personal consumption expenditures $11,736 Compensation of employees $9,805 Gross private domestic investment $2,745 Rents $77 Government purchases $2,745 Interest $724 Net exports $810 Proprietors’ income $1,124 Corporate profits $2,048 Corporate income taxes $499 Taxes on production and imports $1,234 Net foreign factor income $111 Statistical discrepancy $45 Consumption of...
Using the expenditure approach to measure the Gross Domestic Product of an economy at any given...
Using the expenditure approach to measure the Gross Domestic Product of an economy at any given period of time, answer the questions below. a) Since it is counted as investment, why doesn't the purchase of equipment from China by a U.S. corporation increase U.S. GDP? b) The same U.S. corporation builds new housing. In the building process they have to buy building materials. What effect would this have on GDP? Explain.
5. Define Gross Domestic Product. 6. Write the Expenditure Approach Formula. 7. In general, what is...
5. Define Gross Domestic Product. 6. Write the Expenditure Approach Formula. 7. In general, what is the largest component of the Expenditure Formula? 8. Define Nominal GDP and Real GDP. Explain why Real GDP is a better measure to make comparisons.
Part 1 Assignment: Gross Domestic Product · Complete the Gross Domestic Product worksheet. To access the...
Part 1 Assignment: Gross Domestic Product · Complete the Gross Domestic Product worksheet. To access the Gross Domestic Product data required in the worksheet from the government website, use the following click stream: > Access the website, http://www.bea.gov > Under the "National" heading, click “Gross Domestic Product.” > Under the heading “Gross Domestic Product,” click on “Interactive Tables: GDP and the National Income and Product Account (NIPA) Historical Tables.” > Click on “Begin using the data” > Select “Section I...
42) The gross domestic product of Richland during a particular year was $672,500. If the expenditure...
42) The gross domestic product of Richland during a particular year was $672,500. If the expenditure on consumption during that year was $220,000, the expenditure on investment was $250,000, the expenditure incurred by the government was $100,000, and exports was $182,000, calculate the value of imports. 42) A) $21,500 B) $40,000 C) $79,500 D) $100,750 43) The expenditure on consumption in Berylia during a particular year was $310,000, the expenditure on investment was $180,000, the expenditure incurred by the government...
Use an equation to explain how the growth of nominal gross domestic product (GDP), the growth...
Use an equation to explain how the growth of nominal gross domestic product (GDP), the growth of real GDP, and the change in price level are related. Give an example.
how could gross domestic product affect transportation managers?
how could gross domestic product affect transportation managers?
Why do we not count the value of intermediate goods and services in gross domestic product?...
Why do we not count the value of intermediate goods and services in gross domestic product? Does the value of intermediate goods and services show up in gross domestic product? If so, how? Briefly explain.
Define gross domestic product.
Define gross domestic product.
Discuss how one may misinterpret the concept of Gross Domestic Product..
Discuss how one may misinterpret the concept of Gross Domestic Product..
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT