The equation representing the final demand approach to calculating GDP is
A. Y = C + I + X + IM.
B. Y = C + I + G.
C. Y = G + I + X ? IM.
D. Y = C+ I + G + (X ? IM).
Answer: D
You might also like to view...
Which of the following would be an example of contractionary fiscal policy?
A. Congress enacts economic sanctions on North Korea. B. Congress increases the corporate tax rate by 3 percent. C. Congress decreases the rate for the top income tax bracket by 5 percent. D. Congress increases infrastructure spending by 2 percent.
The government of Marina imposes a tax on alcoholic beverages because of the increasing costs of sending first responders to accidents that are caused by drunk driving. This is an example of a _____
a. cap-and-trade tax b. corrective tax c. gift tax d. property tax
When the U.S. real interest rate rises, foreigners will want to purchase
a. more U.S. assets so U.S. net capital outflow rises. b. more U.S. assets so U.S. net capital outflow falls. c. less U.S. assets so U.S. net capital outflow rises. d. less U.S. assets so U.S. net capital outflow falls.
Refer to the information provided in Figure 19.1 below to answer the question(s) that follow. 
Figure 19.1 Refer to Figure 19.1. After firms can respond to the payroll tax, the per-hour equilibrium wage paid by firms ________ compared to the original equilibrium wage.
A. decreases by $2 B. decreases by $5 C. increases by $3 D. increases by $5