Question : 61) Which one of the following government expenditures an example : 1384358

 

61) Which one of the following government expenditures is an example of “government purchases”?

A) $2000 paid to a retiree

B) $1000 paid to a poor person for income support

C) $4000 spent for services provided by a private consultant

D) $100 000 paid as interest on the national debt

E) $600 paid to an unemployed worker for employment insurance

62) When measuring actual gross domestic product from the expenditure side, we use the following simple equation:

A) GNP = C + I + G + X

B) GDP = C + I + G + (X – )

C) GDP = + + + ( – )

D) GNP = + + + ( – )

E) GDP = C + I + (G – transfers) + (X – IM)

63) To calculate GDP from the income side, one must add together wages,

A) consumption and depreciation.

B) interest, rent, depreciation, profits and indirect taxes net of subsidies.

C) investment, rent, depreciation, profits and indirect taxes net of subsidies.

D) government income, interest, and profits.

E) net exports, depreciation, and profits.

64) In national-income accounting, the concept of net domestic income is useful because it

A) does not include inventory investment.

B) includes government transfer payments.

C) includes all goods produced but not exchanged in markets.

D) excludes the value of output that is used as replacement investment.

E) represents national income plus depreciation.

65) Gross domestic product is the sum of factor incomes ________ indirect business taxes, ________ subsidies, ________ depreciation.

A) plus; plus; plus

B) plus; plus; minus

C) plus; minus; minus

D) plus; minus; plus

E) minus; plus; plus

66) How does net domestic income differ from gross domestic product? Net domestic income is GDP minus

A) that part of it not actually paid to households, plus transfer payments to households.

B) that part of it not actually paid to households, minus personal income taxes paid by households.

C) that part of it not actually paid to households, plus transfer payments to households, minus personal taxes paid by households.

D) replacement investment.

E) the sum of corporate, personal and sales taxes paid to the government.

67) When calculating GDP from the income side, which of the following is included in non-factor payments?

A) wages and salaries

B) GST

C) income tax

D) bond interest

E) business profits

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

68) Refer to Table 20-3. What is the value of GDP?

A) $1982.60

B) $1986.00

C) $2010.00

D) $2285.20

E) $2584.40

69) Refer to Table 20-3. When calculating GDP from the income side, we need to add together the following items from the data provided:

A) interest and investment income, business profits, depreciation, indirect taxes less subsidies.

B) wages and salaries, business profits, indirect taxes less subsidies.

C) investment expenditure, consumption expenditure, net exports.

D) interest and investment income, business profits, depreciation.

E) wages and salaries, interest and investment income, business profits, depreciation, indirect taxes less subsidies.

70) Refer to Table 20-3. What is the value of net domestic income (at factor cost)?

A) $1711.60

B) $1811.40

C) $1840.40

D) $1910.80

E) $2004.80

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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