What does GDP measure to avoid double-counting?
a. final goods and services
b. intermediate goods and services
c. net exports
d. all sales of goods and services
a. final goods and services
You might also like to view...
Which of the following is likely to reduce the total efficiency units of labor in an economy?
A) A decrease in the price of capital B) A recession that lowers aggregate demand C) An increase in the price level D) An earthquake that kills several people
An increase in the demand for loanable funds will occur if there is
A) an increase in the real interest rate. B) an increase in the nominal interest rate accompanied by an equal increase in inflation. C) a decrease in the real interest rate. D) an increase in expected profits from firm investment projects.
During the current year, Jessica sold her house, built two years ago, to Kim for $175,000 . Kim then sold the house to Dave for $185,000 . How much does GDP increase due to these transactions?
a. $370,000 b. $175,000 c. $185,000 d. $360,000 e. $10,000
The time period between when economic conditions change and when policy makers are aware of the change is called the
a. index of leading indicators. b. administrative lag. c. recognition lag. d. impact lag.