Which of the following transactions is included in Gross Domestic Product?
A. a gift card that a mother gives her son
B. a Social Security check received by a retiree
C. tips received by a waitress who reports them to the IRS
D. a used textbook that one student gives another student in exchange for a pair of headphones
Answer: C
You might also like to view...
"Cost disease" refers to the tendency for high productivity in the service sector to lead to lower costs in those industries
Indicate whether the statement is true or false
According to the data on real U.S. GDP,
a. economic growth has been irregular, with periodic downturns. b. economic growth has been consistent, with few downturns. c. economic growth has been extremely rapid, but with major collapses. d. economic growth has been elusive, but downturns have been eliminated.
If the PCE deflator increased from 88 to 99 in one year, the rate of consumer inflation is:
A. 10.0 percent. B. 12.5 percent. C. 13.4 percent. D. 11.0 percent.
In response to an increase in the wage rate, the income effect will usually cause a person to
A) supply fewer hours of labor. B) supply more hours of labor. C) supply the same hours of labor. D) have a horizontal labor supply curve.