Arthur sells $100 worth of cotton to Bob. Bob turns the cotton into cloth, which he sells to Camille for $300. Camille uses the cloth to make prom dresses that she sells to Donita for $700. Donita sells the dresses for $1200 to kids attending the prom. The total contribution to GDP of this series of transactions is:
a) $1200
b) $500
c) $2300
d) $1100
a) $1200
You might also like to view...
Labor productivity can only increase if:
A. Labor increases faster than capital B. Capital increases faster than labor C. Labor increases while capital decreases D. Labor and capital increase at the same rate
Lauren runs a chili restaurant in San Francisco. Her total revenue last year equaled $111,000. The rent on her restaurant totaled $48,000. Her labor costs totaled $43,000. Her materials, food and other variable costs totaled $19,000
To Lauren's accountant, Lauren A) incurred a loss of $1,000. B) earned a profit of $1,000. C) incurred a loss of $111,000. D) earned a profit of $111,000. E) had a total cost equal to $91,000.
If Taco Bell determines that the demand for its food is elastic, Taco Bell should raise its price to increase its total revenue
Indicate whether the statement is true or false
For the late 19th and the first half of the 20th century, which of the following did NOT occur?
(a) The demand for foreign goods declined relatively as domestic income expanded. (b) Population soared. (c) Government intervention in market affairs slowed considerably. (d) The competitive economy fueled industrialization in the U.S.