To adjust GDP from market prices to factor cost:
a) Add indirect taxes
b) Subtract subsidies
c) Deduct indirect taxes and deduct subsidies
d) Deduct indirect taxes and add subsidies
Answer: d) Deduct indirect taxes and add subsidie
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What is the difference between federal purchases and federal expenditures?
What will be an ideal response?
During the past decade, U.S. imports of business services have ________, U.S. exports of business services have ________, and U.S. net exports of business services have ________
A) increased; increased; increased B) increased; decreased; decreased C) decreased; increased; increased D) increased; increased; not changed E) decreased; decreased; increased
When the president says that "High inflation rates are a much more serious economic problem than high unemployment rates," it is an example of
A) a normative statement. B) an empirically proven fact. C) a positive statement. D) an irrational argument.
In economics, which of the following is considered as financial capital?
a. Offices and warehouses b. Stocks and bonds c. Machinery d. Factories e. Equipment