This gives us ($10/$16) 100 = 62.5. Explanation Established in 2010, this marketplace lending platform has attracted 48 million users to register. Refer to the following production possibilities table for consumer goods (automobiles) and capital goods (forklifts): a. g. Included: It is a new good produced for final consumption. ((3+1+2+4+5)/5)= 3. h.) Price is indeterminate and quantity decreases. U.S. imports of goods and services 16.5 2 We have the following table summarizing these steps. 42 U.S.C. Instructions: Enter your answer as a whole number. Social Security contributions:$20 The current year per-unit prices of these three goods are A = $2, B = $3, and C = $1. PI= 357-18-20-19-21+12= 291 a. The following table shows the data for a hypothetical economy in a specific year. expenditure; income. $20 billion c. excluded Recall and use information 13. If the government collects $1.5 trillion in personal taxes, then disposable income will be: $10.5 trillion. 14 years (70/5) c. In the fourth column (gray-shaded cells) of the table in part a, enter the amount by which the quantity supplied at each price changes due to the increase in product costs. APC= New consumption/ new disposable income168/220=0.764, ADVANCED ANALYSIS Suppose that the linear equation for consumption in a hypothetical economy is C = 40 + 0.8Y.Also suppose that income (Y) is $400. Journalize the receipt of cash for the maturity value of the note receivable on March 1, 20X2. That is, do price and quantity rise, fall, or remain unchanged, or are the answers indeterminate because they depend on the magnitudes of the shifts? NDept. A similar thing holds true when Roberto gives his daughter $50 for her birthday. Pair your accounts. The materials handling, machine setup, and insertion of parts activity costs also would remain the same. To the left \ ( \$ \) billion. \qquad\text{Total expenses}&\underline{\text{\hspace{5pt}61,600}}&\underline{\text{\hspace{5pt}49,000}}&\underline{\text{\hspace{5pt}26,600}}&\underline{\text{\hspace{5pt}43,400}}&\underline{\text{\hspace{5pt}47,600}}&\underline{\text{\hspace{5pt}228,200}}\\[5pt] Which buyer demands the least at a price of $5? \qquad\text{Avoidable}&\text{\hspace{10pt}9,800}&\text{\hspace{5pt}36,400}&\text{\hspace{5pt}22,400}&\text{\hspace{5pt}14,000}&\text{\hspace{5pt}37,800}&\text{\hspace{5pt}120,400}\\[5pt] a. this amount should be included in calculating that year's GDP. Mei graduated Summa Cum Laude from The George Washington University in May 2022 with a Bachelor of Arts in International Affairs and Geography. Interest received on an AT&T corporate bond, Social Security payments received by a retired factory worker, The unpaid services of a family member in painting the family home, Income of a dentist from the dental services provided, A monthly allowance a college student receives from home, Money received by Josh when he resells his nearly brand-new Honda automobile to Kim, The publication and sale of a new college textbook, An increase in leisure resulting from a 2-hour decrease in the length of the workweek, with no reduction in pay, A $2 billion increase in business inventories, The purchase of 100 shares of Google common stock. Pham can work as many or as few hours as she wants at the college bookstore for $12 per hour. 85 million S1 Quantity Supplied: 15, 10,5 ( look at the first graph)Change in Quantity Supplied ( Subtract S1-S2= -Change in Quantity Supplied) So, disposable income is personal income less personal taxes. Government purchases:$59.4 Included: Income received by the bondholder for the services derived by the corporation for the loan of money. \text {Rental} \\ 2 Refer to the accompanying data. summing corporate income taxes, dividends, and undistributed corporate profits. All figures are in billions of dollars. What was this economy's GDP in year 1? One year nominal GDP was $286 billion and the price index was 88. Undistributed corporate profits 21 Personal taxes 26 First week only $4.99! Those accountants will, in fact, have no way of knowing whether this transaction even took place. 100 140 c.) Price decreases and quantity increases Nominal GDP in 1984 is $70,000 = $10 (price 1984) 7,000 (output 1984). ((3+1-2+4+5)/5)= 2.2 Jars of peanut butter 2.00 3 2.00 2 \text {Income} Now determine NI in two ways: first, by making the required additions or subtractions from NDP (method 1); and second, by adding up the types of income and taxes that make up NI (method 2). a. 200 What is the official unemployment rate?10% In the market for private colleges: c. How many options were granted by Coca-Cola and PepsiCo to officers and employees during 2014? T$28,00037,8009,80047,600$19,600Total$224,000120,400107,800228,200$(4,200). the Census Bureau's Housing Starts Survey and Housing Sales Survey. a. Gross Investment: 25, Find the Real GDP: b. Statistical discrepancy 0 d. Adjust PI (from part c) as required to obtain DI. Find out the absolute and relative errors in the following situation. Net private domestic investment 52.1 Suppose the CPI was 110 last year and is 121 this year. \end{array} \\ Category Value According to statistics, the number of migrant children was 71.09 million, which was about double that of 35.81 million in 2010. 9 6 The general price index in 2009 was 100 and in 2010 it was 180. Compare 12. b. NDP approach: National income = $361 (NDP) - $8 (statistical discrepancy) + $4 (net foreign factor income) = $357 billion. b. Use page 16 of a cash receipts journal. Write your answers in simplest terms. His gift is simply the transfer of wealth from one person to another. How big is the surplus or shortage at $4.90?There is a surplus of 18 thousand bushels. Social Security contributions 20 Explanation For the soap-making opportunity, she anticipates annual revenue of $465,000. Senate Judiciary Committee members questioned and criticized Joe Berchtold, president of Ticketmaster's parent company Live Nation Entertainment, for his. a. Government purchases (G) 59.4 The coming future promises innovative and increasingly rigorous projects and challenges for everyone involved in this value chain. The following table shows data on a hypothetical country's real GDP from 1980 through 1988: Real GDP Year (Billions of Dollars) 1980 372 1981 376 1982 380 1983 388 1984 408 1985 404 1986 396 1987 392 1988 400 The green line on the following graph shows the economy's long-term growth trend. \text{Sales}&\text{\$63,000}&\text{\$35,000}&\text{\$56,000}&\text{\$42,000}&\text{\$28,000}&\text{\$224,000}\\[5pt] (GDP figures are in billions of dollars.) Also suppose that across the whole economy, depreciation (consumption of fixed capital) totals $1 trillion. Goods Good: Apples d. included Quantity of Goods Year 2 Assume that a leader country has real GDP per capita of $40,000, whereas a follower country has real GDP per capita of $20,000. Net private domestic investment 33 Jars of Peanut Butter Finally, when Amy buys a used car, there is no increase in currently produced final goods and services. 6 mil(200,000 *30)= 6mil. Complementarily, we projected a future deforestation and climate scenario up to 2050 and predicted their impacts on surface water in the study area. If these rates continue for long periods of time, how many years will it take for the follower country to catch up to the living standard of the leader country? Undistributed corporate profits:$21 Price Year 2 h. excluded Savannah Bryan is a career coach. Suppose that work hours in New Zombie are 200 in year 1, and productivity is $8 per hour worked. Dollar value of final output = $110 billion What will be the per-unit cost of the app if it sells 1,000 units?$100.50 b. The Market for CEOs: Evidence From Private Equity. b. Which of the following goods are usually intermediate goods and which are usually final goods? Personal Saving: $20 a. a firm's output less the value of the inputs bought from others. Assuming that all prices remain constant, what is this country's new level of GDP? PDept. A value engineering study by Eltons employees suggests that modifications to the finishing process could cut finishing cost from$50 to $40 per hour and reduce the finishing direct labor hours per deluxe rim from 6.5 hours to 6 hours. All figures are in billions of dollars. 2 3 Chapter 27. 3 Consumption figures also come from industry trade sources as does some investment data. Government purchases 59.4 Researchers waited outside a bar they had randomly chosen from a list of such establishments. (45)+(32)+(2*2). In this question, gross investment is proceeding at the rate of $150,000 per year while depreciation is proceeding at the rate of $50,000 per year. How big a surplus or shortage results if the price is 60 cents higher than the equilibrium price?There is a surplus of 14 thousand bushels the purchase of 100 shares of AT&T by a retired business executive. Population under 16 years of age or institutionalized : 120 That $100 payment counts as _______________ for Tina and _______________ for Ted. Interest: $ 13 In the market for public colleges: Assume that the expectations theory holds and the real risk-free rate (r)\left(\mathrm{r}^*\right)(r) is 2%2 \%2%. Assume that we said "$15 worth of bar soap" because soap cost $3 per bar and all three techniques produce 5 bars of soap ($15 = $3 per bar 3 x 5 bars). Explanation GDP per capita in year 2 = $305.88 (= $31,200/102) f.) Price decreases and quantity is indeterminate C= 100+0.6Y Economy C: gross investment exceeds depreciation The table contains data for a hypothetical single-product economy. A small economy starts the year with $1 million in capital. Consumption of fixed capital (depreciation) 27 (B) The reaction catalyzed by luxS in iML1515 and one thermodynamically favorable and one thermodynamically infeasible solution. The following table shows the data for a hypothetical economy in a specific year. How will each of the following changes in demand and/or supply affect equilibrium price and equilibrium quantity in a competitive market? In determining real GDP, the nominal GDP for. b. Solved by verified expert. 4,500 Which of the following statements is true? If the real interest rate at which funds can be borrowed to purchase the machine is 8 percent, will the publisher choose to invest in the machine? Technological developments have allowed the emergence of new concepts, such as renewable energy communities, decentralized renewable energy production, and even energy . None of these are correct. 5. Which of the following activities is excluded from GDP, causing GDP to understate a nation's well-being? For example, revenue generated by illegal marijuana growers in Oregon will be hidden by the illegal growers so that no data will flow to the accountants who compile the GDP statistics. Over this period, the nation's nominal GDP increased by 5 percent. It outfits each restaurant with an additional $200,000 of equipment and furnishings. 70/5 =14 0.2 =(1-0.8) Explanation 23/230*100= 10%. Net export figures come from the U.S. Customs Service and BEA surveys on service exports and imports. For the Internet opportunity, she anticipates costs for land, labor, and capital of $3,250,000 per year and revenues of $3,275,000 per year. What is this country's GDP? Income and taxes approach: National income = $223 (compensation of employees) + $14 (rents) + $13 (interest) + $33 (proprietors' income) + $56 (corporate profits) + $18 (taxes on production and imports) = $357 billion. Row 3: 12+3+4= 19TQD a. The formula is as follows: GDP = C + G + I. Thus, the size of the underground economy as a percentage of GDP equals 15 percent (= ($75 billion/$500 billion) 100). \end{array} & \begin{array}{c} The per-unit cost of an item is its average total cost (= total cost/quantity). Explanation Step 1: Calculate consumption in the economy: A closed economy is an economy that does not trade with other nations. Which of the following is not economic investment? the value of everything that is produced is also the value of everything sold. What was the economy's nominal GDP in year 1? a. That $100 payment counts as _______________ for Tina and _______________ for Ted. What amount would these two transactions add to personal consumption expenditures and thus to GDP during the year? c. What were the amounts of real GDP in 1984 and 2005? a. $1,100,000: The economy's stock of capital at the end of the year will be $1,100,000 (= $1 million initial stock of capital + $150,000 of gross investment - $50,000 of depreciation). The results of National Bureau of Statistics (2021) show that the size of China's migrant population reached 376 million people. Use the graphical analysis of "present goods" versus "future goods" to explain the difference between China's growth rate and the U.S. growth rate. d. Disposable income = $291 (personal income) - $26 (personal taxes) = $265 billion. Corporate income taxes 19 b. NDP = $343.7 (GDP) - $11.8 (consumption of fixed capital) = $331.9 billion. The central theme of 2022 was the U.S. government's deploying of its sanctions, AML . Suppose that Glitter Gulch, a gold mining firm, increased its sales revenues on newly mined gold from $100 million to $200 million between one year and the next. The service a homeowner performs when she mows her yard is not included in GDP because. In these data, U.S. exports are. $4 Finally, assume that in 2005 the price per bucket of chicken was $20 and that 26,000 buckets were produced. Government purchases 50 Category Value a. The gross domestic product (GDP) concept accounts for society's valuation of the relative worth of goods and services by using. Net exports $50 Price Year 1 Assuming that the price of gold increased by 100 percent over the same period, by what percentage did Glitter Gulch's real output change? It is simply a transfer of purchasing power from the federal government to one of its beneficiaries. In contrast, suppose that the CPI was 110 last year and is 108 this year. Fill in the blank entries in the table. i. Find common denominators and subtract. Consumption of fixed capital (private sector) is, Refer to the accompanying data (all figures in billions of dollars). 2 percent per year: Personal taxes:$40.5 Historically, vaccines have taken multiple years to develop, with the fastest previous development spanning four years for Mumps in the 1960s. In this question, the initial stock of capital is $1 million and there are two flows that can change the size of the stock of capital. 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