Question

Component of GDP	Previous Quarter	Most Recent Quarter
Consumer Spending – i.e. “Personal Consumption Expenditures”	3.8	3.5
Investment Spending i.e. “Gross Private Domestic Investment”	-0.5	15.2
Government Spending – i.e. “Government Consumption Expenditures and gross investment”	2.5	2.6
Exports - i.e. “Exports.”	9.3	-4.9
Imports – i.e. “Imports”	13.5	-8.4
RGDP i.e. “Gross Domestic Product” – Line 1	7.6	4.9

1. Which components of GDP have increased in the most recent quarter (i.e. the percentage change > 0)?
2. Which components of GDP have decreased in the most recent quarter (i.e. the percent change is < 0)?
3. Which components of GDP have changed by a lower percentage than in the previous quarter?
4. Which components of GDP changed by a higher percentage than in the previous quarter?
5. Which components of GDP have changed direction? I.e went from a positive percentage change in the previous quarter to a negative percentage change in the most recent quarter or vice versa?

I believe the answer to the first question is GDP of 24.8 but I could be wrong. Please provide detail so I can understand how you got those answers. Thank you

Answer 1

The components of GDP which have increased are government spending.

The components of GDP which have increased are consumer spending and RGDP

Government spending changed just by a lower percentage by 4 percent.

R GDP changed by a higher percentage from the previous quarter by 35.4%

Exports and imports went from positive to negative where investment spending moved from negative to positive.