Explain the difference between Gross Domestic Product and Gross National Product. Give an example of each
What will be an ideal response?
Gross Domestic product is the value of final goods and services produced within the United States. In contrast, gross national product is the value of final goods and services produced by residents of the United States, regardless if the production takes place in the United States. GNP would include the production from a Ford Plant located in France. GDP would include production from a Honda plant located in Ohio.
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Which of the following is NOT correct regarding the status of U.S. labor unions?
A) Today fewer than one in eight workers is a union member. B) A key reason for the decline in union membership is the relative decline in manufacturing jobs as a share of total employment. C) Greater domestic and global competition has had a part in bringing about a decline in unions. D) Global trade has increased the number of union members in the United States.
If real GDP ________ aggregate planned expenditure, then as a result firms ________ production
A) exceeds; decrease B) equals; increase C) exceeds; increase D) is less than; decrease E) equals; decrease
Why is a competitive market efficient?
What will be an ideal response?
If the percentage change in the quantity demanded of a good is less than the percentage change in price, price elasticity of demand is:
a. inelastic. b. elastic. c. unitary elastic. d. perfectly inelastic.