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Q.No.1. Differentiate the following by giving at least one practical example with each term.
1. GNP Vs NNP
2.
3. Macro Economics Vs Micro Economics
4. Aggregate demand Vs
5. divisibility of money Vs Uniformity of money
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Solved in 4 steps
- 13.Give a scenario in which nominal GDP increases but real GDP stays the same. 14.Give a scenario in which real per capita GDP decreases but real GDP increases. 15.Give a scenario in which real per capita GDP increases but quality of life decreases.Kindly answer all three parts 1) Why do national income accountants compare the market value of the total outputs in various years rather than actual physical volumes of production? 2) What problem is posed by any comparison over time of the market values of various total outputs? 3) How is this problem resolved?The base year in a country for the calculation of national income data is 2012. Real GDP in this country grows at the rate of 5 percent per year. The GDP deflator in this country increases at the rate of 2 percent per year. If the real GDP in this country in 2011 was 20,000 manats, what would be the value of nominal GDP in 2013? Nominal GDP in 2013 = manats. Do you know what country uses manat as its currency? Part B: The base year in a country for the calculation of national income data is 2012. Real GDP in this country grows at the rate of 5 percent per year. Nominal GDP in this country increases at the rate of 8 percent per year. If the real GDP in this country in 2011 was 50,000 tenges, what would be the value of GDP deflator in 2013? GDP deflator in 2013 = tenges. Do you know what country uses tenge as its currency?
- 1. Investment is a determining factor of GDP. A decrease in the supply of available funds (i.e. a decrease in the supply of savings) is predicted to? a. Decrease interest rates, decrease investment towards physical capital and hence decrease GDP. b. Increase interest rates, increase investment towards physical capital and hence decrease GDP. c. Decrease interest rates, decrease investment towards physical capital and hence increase GDP. d. Increase interest rates, decrease investment towards physical capital and hence decrease GDP.Which statement best describes the difference between Nominal and Real GDP? Group of answer choices Nominal GDP is Real GDP that has been adjusted to remove the distorting effects of inflation. Real GDP is calculated using current market prices, while Nominal GDP is calculated using the average prices of the last 5 years. Nominal GDP is calculated using current market prices, while Real GDP is calculated using the prices of the previous year. Real GDP is Nominal GDP which has been adjusted to remove the distorting effects of inflation.explain how the circular flow method can be used to illustrate relationship between key participant in the economy
- Q. 3 Take as much of your time as you need and do it right. explain everything. Which of the following Items to be Included or Excluded in GDP? Explain with reasons. Food purchased by a foreign tourist at a hotel in Cox’s bazar. Construction of a new house Winning of a lottery prize. Why is it difficult to compare GDP from different countries? Explain it in detail. You are given the following cases; find out the loan-able funds market equilibrium. Also, show them as a graph Changes in capital inflows Changes in perceived business opportunities and in government borrowingWhich definition best describes real GDP? a)the production of goods and services valued at current prices b)the production of goods and services valued at constant prices c)the production of goods and services valued at tomorrow's prices d)the general change in prices of goods and services from one period to the nextPlease provide me ans for part f only. Q) Assume a hypothetical economy that produces only one good – Peanut Butter. In year 1, the quantity produced is 4 packs and the price is Rs.400 per pack. In year 2, the quantity produced is 5 packs and the price is Rs.500 per pack. In year 3, the quantity produced is 6 packs and the price is Rs.600 per pack. Year 1 is the base year.a. What is nominal GDP for each of these three years? b. What is real GDP for each of these years? c. What is the GDP deflator for each of these years? d. What is the percentage growth rate of real GDP from year 2 to year 3? e. What is the inflation rate as measured by the GDP deflator from year 2 to year 3? f. In this one-good economy, how might you have answered parts (d) and (e) without first answering parts (b) and (c)?
- Part 1) Can you Explain how an economy’s income must always equal its expenditure with simple example Part 2) Can you please write the problems with the Consumer Price Index. Part 3) What is fiat money? What is commodity money? Which kind do we use? Part 4) Suppose you given a choice to live in a country with high level GDP and low growth rate or to live in a low level of GDP and a high growth rate, which option would you choicee and why?QUESTION 1 a. What is the main difference between Gross Domestic Product (GDP) and Gross National Product (GNP)? b. Critically state the difference between the expenditure approach to measuring GDP, the output approach, and the income approach? c. Differentiate between unemployment and underemployment. d. Explain ONE type of unemployment. e. Explain three (3) costs of unemployment to society. QUESTION 2 a. Explain concisely whether the following statement is true or false: “The GDP of a country does provide an accurate indicator of the welfare of its citizens” b. In as much detail as possible, explain the Circular Flow Diagram for a Four (4) sector economy.Read carefully need full warranty SOLUTIONs dont copying paste no need generalized answer. Summary examples key points all heading and explaination need etc. Abstract: Under Economic Growth mean constantly increasing volume of production in a country, or an increase in gross domestic product as the main quantitative indicators of production for a period of one year. Economic development is not only quantitative changes when it comes to the economic position of the country, but also qualitative changes (changing the economic structure, the emergence of new sectors and industries, new jobs, etc..). They lead to a better and more complete satisfaction of all human needs. Production per capita is a measure of the ability of a society to achieve their goals of social and economic development, all in order to meet the constantly growing social needs. The increase in output per capita in economic theory is expressed as economic growth, without which no economic development, but does not have…
