Exhibit 5-4 Gross domestic product data
National income accountBillions ofdollars
Depreciation$ 800
Net interest1,500
Compensation of employees4,000
Profits1,000
Rental income 100
Indirect business taxes 600
Consumer purchases1,000
As shown in Exhibit 5-4, using the income approach, gross domestic product (GDP) is:
A. $9,000 billion.
B. $6,600 billion.
C. $7,400 billion.
D. $8,000 billion.
Answer: D
You might also like to view...
Explain why in situations where the Coase Theorem applies, bargaining power does not influence whether the efficient outcome is reached, but affects the distribution of gains
What will be an ideal response?
A binding minimum wage creates a shortage of labor
a. True b. False Indicate whether the statement is true or false
Congress and the President implement an investment tax credit. Which curve in the market for loanable funds shifts, which direction does it shift, and what happens to the interest rate?
Continued inflation occurs
A) if there is a sustained increase in the price level. B) only if there is a sustained increase in the price of every good and service. C) only if there is a sustained increase in the price of every good and service by the same dollar amount. D) only if there is a sustained increase in the price of every good and service by the same percentage.