- The ____ approach allows us to calculate GDP ___ and is not a component of GDP.
Your answer:
Income; personal consumption
Expenditure; government purchases
Expenditure; interest
Income; exports
Expenditure; durable goods
- Durable goods, nondurable goods, and services are part of ___ and fall in the category of ___.
Your answer:
GDP; government purchases
GDP; gross private domestic investment
National income; employee compensation
GDP; personal consumption
National income; inventory
- Which of the following is the best example of a durable good?
Your answer:
The services you bought when you had your ears poerced last week
A bottle of Calvin Klein Obsession (cologne)
The box of Dunkin’ Donut holes that you ate for lunch yesterday
Your Ford Explorer
A box of pecan nuts
- Which of the following would be classified as a personal consumption expenditure?
Your answer:
Your purchase of a newly constructed house
Your purchase of a preowned house
The expenditure of time you gave in volunteering to raise money for a cancer fund
Your purchase of one share of Microsoft stock
Your purchase of your economics course
- In calculating the net exports component of GDP, exports
Your answer:
and imports are included
and imports are equal
are included and imports are not
are included and impoarts are subtracted
and imports are subtracted
- The income of corporate managers s included in
Your answer:
interest
rent
corporate benefit
employee compensation
proprietors' income