Individuals who purchase the final goods and services of an economy are called
a. Firms.
b. Business.
c. Markets.
d. Entrepreneurs.
e. Consumers.
When measuring GDP, we double count if we include the value of
a. Government expenditures.
b. Non-market transactions.
c. Non-productive transactions.
d. Net exports.
e. Intermediate goods.
The question below is based on the following information:
- Personal consumption expenditures $1,200 billion
- Gross private domestic investment $ 700 billion
- Government purchases of goods and services $ 900 billion1
- Exports $ 500 billion
- Imports $ 600 billion
- Indirect business taxes $ 300 billion
Gross Domestic Product equals:
a. $2,500.
b. $2,600.
c. $2,700.
d. $2,800.
e. $2,900.