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- Suppose that in the country of Economia: Net Investment = $20 billion, Depreciation = $70b, Net Exports = $30b, Taxes = $90b, Government Expenditure = $60b, Imports = $70b, Consumption = $120b. What does GDP equal in Economia? Select one: a. $300 billion b. $270 billion c. $250 billion d. $230 billion e. $210 billionIn the third quarter of 2008, investment in the U.S. totaled $4,2 trillion and in 2007, investment was $1,4 trillion. In addition, third quarter of 2007 real GDP was $48 trillion. Suppose the MPC in the U.S. is 0.80. Ignoring all other changes in spending, what is the new real GDP?Suppose the government increases expenditure towards education and training programs. The intended effect at the macroeconomic level would be? a.To increase net exports, which in turn increases GDP. b.To increase government spending, which in turn increases GDP. c.To increase consumption, which in turn increases GDP. d.To increase private investment today, which in turn increases GDP.
- Given the following macroeconomic information to answer the next question: Private Consumption spending 800 Interest paid on capital 100 Imports 200 Gross Investment spending 600 Factors income paid to abroad 120 Exports 110 Government spending 550 Depreciation 50 Government tax revenue 200 Factors income received from abroad 80 Calculate the following values: 1- GDP = 2- GNP = 3- Internal Balance = 4- Net factors income from abroad =From the table below answer, the following questions in the spaces provided, consider the following data (in billion $) for a country in a particular year: (Personal consumption expenditure (C 1000 (Exports (x 120 (Government Purchases of goods and services (G 400 (Imports (m 110 Gross Domestic Product (Y) 4,500 (Taxes (T 200 5) What is the value of gross investment (I)? Answer 6) What is the amount of investment financed by national savings? Answer 7) What is the amount of investment financed by borrowing from or lending to the rest of the world? AnswerMPC and MPS measure changes in consumption expenditure and saving that result from changes ?. A. expected inflation. (b) disposable income. (c). expected future income. (d)governmente expenditure on goods and services.
- Based on Aggregate Expenditure (AE) model if aggregate expenditure is less than GDP, what will happen (increase or decrease) to: inventories GDP EmploymentNational income accounting (GDP calculate) is an essential part of macroeconomics. Analyse the following hypothetical economy and answer the questions that follow: G = 400, I = 70, X = 300, M =100, autonomous consumption = 100, MPC = 0.6, taxes=50 Calculate the level of national income in this economy What percentage of disposable income do people save? Calculate the level of savings Show that in this economy, injections are indeed equal to withdrawals Calculate the multiplier? Using the multiplier in v above, what would be the new level of national income if government spending rose to 500?1- In a country, if the consumption is OMR 14000, exports OMR 5300, government purchases are OMR1500, imports are 3400, and investment is OMR 2800, What is the GDP for that year? ____________ Select one: a. OMR 22000 b. OMR 20002 c. OMR 20200 d. OMR 20020 2- Suppose that in a closed economy GDP is equal to 11,000, taxes are equal to 2,500 consumption equals 7,500 and government purchases equal 2,000 the outcome is private saving, public saving, and national saving is 1,000, 500, and 1,500, respectively. Select one: a. False b. True
- Which of the following will NOT lead to an increase in real GDP? A. On average, people in a country decide to increase the number of hours they work by 5%. B. Spending on homeland security increases in response to a terrorist attack. C. The price level and nominal GDP increase by 10%. D. Due to lower interest rates by the Fed investors increase their investmenThe investment category of GDP measures three different types of expenditures. What are they? Why is planned investment sometimes different from actual investmentWhich of the following is true about the real GDP?a. It is equal to nominal GDP multiplied by the GDP deflator. b. It measures aggregate output using current prices. c. It measures aggregate output using constant prices.d. It is equal to the GDP deflator divided by nominal GDP.e. It is greater than nominal GDP when the GDP deflator is greater than 100.