Answered: a. What do households do in the factor…

a. What do households do in the factor market, buy or sell? A. buy B. sell b. In the Factor Market do firms buy or sell? A. buy B. sell

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter5: Measuring A Nation's Income

Section: Chapter Questions

Problem 1QR

See similar textbooks

Related questions

Q: Distinguish the final goods or services, intermediate goods or services, and capital goods?

A: Intermediate goods are defined as those goods which are a part of the final good as they have been…

Q: onsider a simple economy that produces two goods: pens and oranges. The following table shows the…

A: We’ll answer the first question since the exact one wasn’t specified. Please submit a new question…

Q: APL SRAS AD REAL GDP increase; increase O decrease decrease decrease: increase Oincrease decrease

A: Intersection of aggregate demand curve and short run aggregate supply curve determines the average…

Q: What are the single - use goods and the durable goods in economics with examples

A: In simple words economic services or the goods are those goods which are initially produced by the…

Q: what is Value Added at Producer Price and Value Added at Purchaser Price. How are they calculated

A: Value-added at producer price: The producer's prices are the prices which are received by the…

Q: The figure shows the flows of expenditure and income on Lotus Island in 2016, was 50 billion W was…

A: An expenditure is funds utilized by an organization, business, or corporation to acquire unique…

Q: How does the value of production relate to expenditure and income? The value of production ____. A.…

A: Production in economics is the process of creating things or services from inputs, both tangible and…

Q: Participants Cost of Materials Value of Sales Farmer $0 $100 Cone factory and ice cream-maker…

A: This table shows different participants , different cost of materials and different values of sales…

Q: a) With the aid of a consumption function, highlight the main determinants of consumption.

A: The relationship between the spending of consumer and it's determinants which effects this describes…

Q: With the help of appropriate examples, explain the concept of value added.

A: Product or value added method is a method of calculating Gross Domestic Product.

Q: 5. Consider a simple economy below that produces three final goods that are exchanged on the market:…

A: Answer is given below

Q: If households spend $80 billion on goods and $70 billion on services, how much in revenues do…

A: There are two types of market: Product market and Money market. The product market is also called…

Q: Consider an economy which produces and sells, among a host of other things, 100 million T-shirts a…

A: The total monetary or market worth of all finished goods and services produced inside a country's…

Q: If the price of a hot dog is $2 and the price of ahamburger is $4, then 30 hot dogs contribute…

A: Given:

Q: If household spend $105 billion on goods and $95 billion on services. How much in revenues do…

A: Below is the given information. Spending by the household on goods = $105 Spending by the household…

Q: Homework GDP DIRECTIONS Each section below contains problems associated with a particular aspect of…

A: Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: 1. Inventory is: Group of answer choices a. the total amount of goods that a company produces now,…

A: 1. Inventory is a stock or store of goods. Every company store goods as inventory which will keep…

Q: 12. Based on the following data answer questions a, b and c. a. Find GNP at market price b. Compute…

A: "Since you have asked multiple parts, we will answer only first two parts for you. If you have any…

Q: sider a simple economy that produces two goods: pens and muffins. The following table shows the…

Q: In an economy where people spend 80% of their incomes, the government lowers taxes by $5000.…

A: Gross domestic product is a monetary measure of the market value of all the services and final goods…

Q: Give the (2) different types of economy. Explain each type.

A: Economy is a system of all those arrangement and activities in which individuals, or group wants to…

Q: Question 27 GDP is not a perfect measure of well-being; for example, O GDP incorporates a large…

A: The answer is - Option 2: GDP fails to account for the quality of the environment.

Q: A firm produces and sells a good for $95. To produce this good they purchased materials for $11,…

A: Value added = Value of output - Intermediate consumption

Q: Suppose that a painter uses 3 pieces of canvas valued at $50 each and paint valued at $150 total.…

A: Cost on Canvas = $50 per unit Quantity of Canvas = 3 Cost on paint = $150 Paintings worth = $200…

Q: ose an extremely simple economy wo goods, pillows and rugs. In the Lows are produced and sold at $5…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: What do we mean by market income? Example

A: Financial economics refers to the branch of economics that analyzes the use and distribution of…

Q: When there is a mixed economy, which of these is not allocated by the market? A) None of the above…

A: There are three types of economy:- Socialist economy capitalist economy mixed economy In the…

Q: Calculate the consumption of goods and services in your family in the following a. Groceries like…

A: Consumption in economics is the total value of goods and services consumed by an consumer.…

Q: What is advantage of GDP?

A: The total monetary or market worth of all finished goods and services produced within a country's…

Q: HOUSEHOLDS GOVERNMENTS FACTOR MARKETS GOODS MARKETS X-M REST OF WORLD X-M FIRMS In the above…

A: Y = C + I + G + (X-M) Where C = Consuption = $8 trillion I = Investment = $3 trillion G =…

Q: HOUSEHOLDS GOVERNMENT FACTOR MARKETS GOODS MARKETS X-M) REST OF WORLD X-M FIRMS e above diagram,…

A: Given, Y= $12 trillion C= $8 trillion I= $3 trillion (X-M)= -$3 trillion Therefore, Y=C+I+G+(X-M)…

Q: What are GDP concept and nature

A: CONCEPT OF GDP GDP is the total value or market value of all value of all final goods within a…

Q: Households play a role in the circular flow of goods by: A. providing natural resources to…

A: A circular flow of goods is an economic concept to describe the scenario of goods market where firms…

Q: What is household consumption expenditure reflecting in terms of GDP of a country? What it indicates…

Q: a. Consider an economy which produces and sells, among a host of other things, 100 million T‑shirts…

A: Value-added selling is the particular selling process during which the sales rep does whatever it…

Q: 18. If consumers in the U.S. buy $3.5 billion of clothes made by businesses in Bangladesh, how is…

A: GDP is the value of final goods and services produced in the economy within a given period of time.

Q: he end of the year: you sell trees Lei cut down for $27,000; you pay Lei $15,000; and your saw is…

A: GDP is the aggregate value of goods and services produced within the domestic territory of a nation…

Q: In 2020, Delorse Greenlee purchased a 1892 painting by Paul Cezanne for $250 million. She also paid…

A: Here, it is given that Delores Greenlee buys a 1892 painting by Paul Cezanne for $250 million and…

Q: Imagine an economy that only produces burgers. Kathleen is the queen of that economy and she has a…

A: GDP refers to the market value of good and services produced within the domestic boundaries of a…

Q: A sold goods to B for 20000. B whoes value added is 40000 sell half of its output to c and remaining…

A: value added method is a method of computing the national income of a country. This is also known…

Q: In terms of Islamic Economic, what is the Muslim Consumer Behavior and why it is related to the…

A: The behaviour of a consumer is a complex phenomenon that is influenced by multiple diverse forces…

Question

a. What do households do in the factor market, buy or sell?

A. buy

B. sell

b. In the Factor Market do firms buy or sell?

A. buy

B. sell

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

Part A. In the circular flow diagram what do households do in the factor market, buy or sell? Part B. In the Factor Market do firms buy or sell?
The circular flow of income diagram shows: a) how households sell goods to firms b) how firms sell goods to banks c) how households produce services for their own use d) output equals income equals expenditure
What do we mean by market income? Example...
If household spend $105 billion on goods and $95 billion on services. How much in revenues do businesses receive in the product market?
On the demand side of GDP, consumption by _____________ is the largest component of GDP, accounting for about two-thirds of the GDP in any year. options a) businesses b) households c) services d) government
Economics. Suppose the following information was published by the Australian Bureau of Statistics in 2017: Item Amount (AUD billion) Household consumption 5,029.81 Government consumption 20,340.92 Exports 1,386.39 Value of cocaine seized at Sydney Airport 20,500 Value of intermediate goods in tractor manufacturing 502,003 Gross private domestic investment 352.69 Imports 386.95 Components used in the manufacture of cars 40,000 Gifts 15,236 Government investment 88.19 Value of second-hand goods 500.00 Value of banned endangered species elephant tasks seized at Melbourne Airport 600.00 Use the information provided to calculate Australia’s GDP in 2017
If Mr. Keating quits his job as a teacher to homeschool his own children, GDPa. stays the same because he is engaged in thesame activity.b. rises because he now pays lower income taxes.c. falls because his market income decreases.d. could rise or fall, depending on the value of homeschooling
1. Inventory is: Group of answer choices a. the total amount of goods that a company produces now, regardless of whether they've sold it or not. b. the stock of goods that a company produced last year, but had to sell for below cost. c. the stock of goods that a company produces now, but keeps to sell at a future time. d. the stock of goods that a company produces and sells in a given time perio 2. The four categories of expenditure (spending) in the economy are wages, rent, interest, and profit. Group of answer choices True False
(b) Lori is a student who teaches golf on the weekend and in a year earns $20,000 after paying her taxes. At the beginning of 2010, Lori owned $1,000 worth of books, CDs, and golf clubs and she had $5,000 in a savings account at the bank. During 2010, the interest on her savings account was $300 and she spent a total of $15,300 on consumption goods and services. There was no change in the market values of her books, CDs, and golf clubs. (i) How much did Lori save in 2010? (ii) What was her wealth at the end of 2010?
If households spend $80 billion on goods and $70 billion on services, how much in revenues do businesses receive in the product market?