The table below details the composition of an economy’s GDP by spending category. Category Expenditures (billions of dollars) Fixed business investment $3,250.00 Durable goods $2,100.00 Exports $700.00 Federal government purchases $1,600.00 New home construction $1,000.00 Imports $840.00 Change in inventories $-250.00 Nondurable goods $5,200.00 Services $8,250.00 State and local government purchases $2,550.00 Use the information in the table to calculate the following: a) Consumption: $    billion b) Investment: $    billion c) Government: $    billion d) Net exports: $    billion

Exploring Economics
8th Edition
ISBN:9781544336329
Author:Robert L. Sexton
Publisher:Robert L. Sexton
Chapter19: Measuring Economic Performance
Section: Chapter Questions
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The table below details the composition of an economy’s GDP by spending category. Category Expenditures (billions of dollars) Fixed business investment $3,250.00 Durable goods $2,100.00 Exports $700.00 Federal government purchases $1,600.00 New home construction $1,000.00 Imports $840.00 Change in inventories $-250.00 Nondurable goods $5,200.00 Services $8,250.00 State and local government purchases $2,550.00 Use the information in the table to calculate the following:

a) Consumption: $    billion

b) Investment: $    billion

c) Government: $    billion

d) Net exports: $    billion

e) GDP: $    billion 

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