a) As the airplane has been sold to the government it will be part of the government expenditure.
b) It is sold to a domestic player and within the boundaries of the nation, so it will be part of the consumption.
c) Car build to be sold next year will increase the inventory of the store and it will be part of the investment.
d) As the plane has been sold to the foreign airline it will be part of net export.
e) A plane sold to the domestic airline operator will be part of its investment.
Place each of the following transactions in one of the four components of expenditure (consumption, investment,...
Place each of the following transactions in one of the four components of expenditure (consumption, investment, government expenditure, or net exports). Do not forget to briefly justify your answer: (a) A domestic airline manufacturer sells a new airplane to the Air Force (i.e. government) 12 points). b) A domestic car manufacturer sells a new car to a domestic soccer player (i.e. private individual) [2 points). (c) A domestic car manufacturer builds a car to be sold next year [2 points....
Which of the following transactions are examples of consumption, investment, government expenditure or Net Exports. Justify each answer 1) A domestic airline manufacturer sells a new airplane to the Air Force (i.e. government) 2) A domestic car manufacturer sells a new car to a domestic hockey player (i.e private individual) 3) A domestic car manufacturer manufacturer builds a car to be sold next year. 4) A domestic airline manufacturer sells a new airplane to a foreign airline operator. 5) A...
Place each of the following transactions in one of the four components of expenditure: consumption, investment, government purchases, and net exports. a. Boeing sells an airplane to the U.S. Air Force. b . Boeing sells an airplane to American Airlines. c . Boeing sells an airplane to Air France. d. Boeing sells an airplane to Amelia Earhart. e. Boeing builds an airplane to be sold next year.
Place each of the following transactions in one of the four components of expenditure: consumption, investment, government purchases, and net exports. Apple sells a computer to a public school in Paris, Kentucky. Apple sells a computer to an accounting firm in Paris, Illinois. Apple sells a computer to a bakery in Paris, France. Apple sells a computer to Paris Hilton. Apple builds a computer to be sold next year.
ta? 4. Place each of the following transactions in one of the four components of expenditure: consumption, investment, government purchases, and net exports. a. Apple sells a computer to a public school in Paris, Kentucky b. Apple sells a computer to an accounting firm in Paris, Illinois. c. Apple sells a computer to a bakery in Paris, France. d. Apple sells a computer to Paris Hilton. e. Apple builds a computer to be sold next year.
Place each of the following transactions in one of the four components of expenditure: (remember it could enter more than one component) Boeing sells an airplane to American Airlines Apple sells a computer to a bakery in Paris, France Amanda buys a computer which is made in China Sue buys dinner at a local restaurant for her family Amazon buys a new software for its company You buy a used computer from a friend General Motors inventories of steel rise...
Question 1 Consider the following nominal expenditure components for a fictional economy in a given year in $ trillion, Not yet answered Points out of 1.00 P Flag question Consumption, C $14 Gross private domestic investment, I $4 Government purchases, G $4 Exports, X $3 The value of imports of this economy in this year is $10 trillion. What is the GDP of the economy? Write your answer as a whole number only with no other notation. Answer: Question 2...
Indicate what components of GDP (if any) each of the following transactions would affect. Check all that apply. Government Purchases Net Exports Consumption Investment Transaction Uncle Henry buys a new refrigerator from a domestic manufacturer. Aunt Jane buys a new house from a local builder. The Jackson family buys an old Victorian house from the Walker family. You pay a hairdresser for a haircut. Ford sells a Mustang from its inventory to the Martinez family. Ford manufactures a Focus and...
For each of the following transactions, state the effect both on U.S. GDP and on the four components of aggregate expenditure a. Your mother buys a new car from a U.S. producer. us, GDP (Click to select) Of the four components of aggregate expenditure: net exports do not change and government purchases rise. investment rises and net exports do not change. investment rises and net exports fall. consumption rises and net exports do not change. consumption rises and net exports...
For each of the following transactions, state the effect both on U.S. GDP and on the four components of aggregate expenditure. a. Your mother-in-law buys a new car from a U.S. producer. U.S. GDP (Click to select) Of the four components of aggregate expenditure: consumption rises and net exports fall. investment rises and net exports fall. investment rises and net exports do not change. O consumption rises and net exports do not change. b. Your mother-in-law buys a new car...