Use the following table for a hypothetical single-product economy. year units of output price per unit price index (1=100) 1 10 10 100 2 12 20 200 3 15 30 300 4 20 40 400 Refer to the above data. Nominal GDP in year 3 is:
a) $100.
b) $450.
c) $225.
d) $150.
b) $450.
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What are the main components of the current account? What has been the recent U.S. experience with these items?
What will be an ideal response?
Consider four parcels of peanut growing land. The nonland peanut production costs are $1,000 for Parcel A, $1,200 for Parcel B, $1,600 for Parcel C, and $1,700 for Parcel D. If, before rents are charged, farmers are indifferent between planting on Parcel, then which of the following is true?
A. Parcel A’s rent is $200 and Parcel C’s rent $0. B. Parcel A’s rent is $200 and Parcel B’s rent $400. C. Parcel A’s rent is $600 and Parcel B’s rent $300. D. Parcel A’s rent is $600 and Parcel D’s rent $0.
The sum of the value added of every firm involved in producing all final goods and services ________ gross domestic product
A) equals B) is greater than C) is less than D) is sometimes greater than and other times less than
Article 123 of the Treaty on the functioning of the European Union stated that the
A. member countries had to keep a fixed gold deposit with the European Central Bank. B. European Central Bank could not purchase member nation debt. C. member countries had to maintain a deficit to GDP ratio of 4 percent. D. European Union would bailout any member country in distress.