Answered You can hire a professional tutor to get the answer.

QUESTION

1. Classify each of the following items as a final good or service or as an intermediate good or service and identify which is a component of

1.  Classify each of the following items as a final good or service or as an intermediate good or service and identify which is a component of consumption, investment, or government expenditure on goods and services:

  • banking services bought by a student
  • new cars bought by Hertz, the car rental firm
  • newsprint bought by the National post
  • the purchase of a new limo for the prime minister
  • new house bought by Alanis Morissette

2.  The transactions in Jupiter last year are in the table below.  Use this data to

  • calculate Jupiter's aggregate expenditure
  • calculate Jupiter's net exports
  • calculate Jupiter's government expenditure

         Item                                 Dollars

GDP                                           1,400,000

Consumption Expenditure        700,000

Taxes                                             350,000

Transfer payments                      150,000

Profits                                             300,000

Investment                                     350,000

Exports                                            400,000

Savings                                             400,000

Imports                                             350,000

3.  The IMF World Economic Outlook reports the following unemployment rates:

Region                                      2010                   2011

United States                             9.6                      8.5

United Kingdom                        7.8                      7.7

Japan                                           5.1                      4.9

a.  What do these numbers tell us about the phase of the Business cyc;e in the United states, the United Kingdom and Japan in 2011?

b.  Do these numbers tellus anything about the relative size of the labour force participation rates and employment-to-population rations in the three regions?

AnswersAns.1. Banking services bought by a student: Final services, Component of Consumption new cars bought by Hertz, the car rental firm: Final Good, Component of Investmentexpenditure...
Show more
LEARN MORE EFFECTIVELY AND GET BETTER GRADES!
Ask a Question