Which of the following is not included in the investment component of GDP?
a. The purchase of 100 shares of stock.
b. The purchase of a $1000 bond.
c. A firm's purchase of a used van to use for deliveries.
d. None of the above are included in the investment component of GDP.
d
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Excess supply in an unregulated market will cause the price of a product to fall
Indicate whether the statement is true or false
If a bond dealer sells a government bond to the Fed for $100,000, and the reserve ratio is 10 percent, then the bank that receives a $100,000 deposit from the dealer can expand its loans by ________,
and the money supply can increase by as much as ________. A) $80,000; $800,000 B) $10,000; $100,000 C) $90,000; $1,000,000 D) $90,000; $900,000
If GDP increases, then real GDP
A. may have either increased or decreased. B. has increased. C. has decreased. D. is unchanged.
The optimal mix of output is always the same as the
A. Output that producers produce. B. Output that the government provides. C. Output that consumers demand. D. Most desired combination on a production possibilities curve.