21.Whichofthefollowingitemsistheonetypeofhouseholdexpenditurethatiscategorizedasinvestmentratherthanconsumption?
a.spendingoneducation
b.thepurchaseofstocksandbonds
c.thepurchaseofanewhouse
d.thepurchaseofdurablegoodssuchasstovesandwashingmachines
22.WhichofthefollowingisincludedintheinvestmentcomponentofGDP?
a.spendingtobuildnewhouses
b.spendingtobuildnewfactories
c.spendingonbusinessequipmentsuchasweldingequipment
d.AlloftheaboveareincludedintheinvestmentcomponentofGDP.
23.WhichofthefollowingisincludedintheinvestmentcomponentofGDP?
a.spendingonnewresidentialconstructionandspendingonstocksandbonds
b.spendingonnewresidentialconstructionbutnotspendingonstocksandbonds
c.spendingonstocksandbondsbutnotspendingonnewresidentialconstruction
d.neitherspendingonstocksandbondsnorspendingonnewresidentialconstruction
24.WhichofthefollowingisincludedintheinvestmentcomponentofGDP?
a.spendingonnewbusinessequipmentsuchaspowertoolsandspendingonstocksandbonds
b.spendingonnewbusinessequipmentsuchaspowertoolsbutnotspendingonstocksandbonds
c.spendingonstocksandbondsbutnotspendingonnewbusinessequipmentsuchaspowertools
d.neitherspendingonnewbusinessequipmentsuchaspowertoolsnorspendingonstocksandbonds
25.WhichofthefollowingisincludedintheinvestmentcomponentofGDP?
a.Elainepayshercollegetuitionbill.
b.John’slawfirmbuyshimanewcomputer.
c.LaurabuysabondthatMcDonald’ssellstoraisefunds.
d.Alloftheabovearecorrect.
26.WhichofthefollowingisnotincludedintheinvestmentcomponentofGDP?
a.Thepurchaseof100sharesofstock.
b.Thepurchaseofa$1000bond.
c.Afirm’spurchaseofausedvantousefordeliveries.
d.NoneoftheaboveareincludedintheinvestmentcomponentofGDP.
27.TheCarters’oldestsonattendsBigStateUniversity.Heandhisparentspayallhisfeesandtuition.ThesepaymentscountinGDPas
a.investment.
b.governmentspending.
c.consumptionofservices.
d.consumptionofdurablegoods.
28.ConsidertwoitemsthatmightbeincludedinGDP:(1)theestimatedrentalvalueofowner-occupiedhousingand(2)purchasesofnewly-constructedhomes.HowarethesetwoitemsaccountedforwhenGDPiscalculated?
a.Bothitem(1)anditem(2)areincludedintheconsumptioncomponentofGDP.
b.Item(1)isincludedintheconsumptioncomponentofGDP,whileitem(2)isincludedintheinvestmentcomponentofGDP.
c.Item(1)isincludedintheinvestmentcomponentofGDP,whileitem(2)isincludedintheconsumptioncomponentofGDP.
d.Onlyitem(2)isincludedinGDP,anditisincludedintheinvestmentcomponent.
29.AU.S.publisherpurchasesnewcomputersthatweremanufacturedintheU.S.Thispurchasebyitselfmakes
a.apositivecontributionbothtoinvestmentandtoGDP.
b.apositivecontributionbothtoconsumptionandtoGDP.
c.apositivecontributiontoGDP,butitdoesnotaffectinvestmentorconsumption.
d.apositivecontributiontoinvestment,butitdoesnotaffectGDP.
30.AMinnesotafarmerbuysanewtractormadeinIowabyaGermancompany.Asaresult,
a.U.S.investmentandGDPincrease,butGermanGDPisunaffected.
b.U.S.investmentandGermanGDPincrease,butU.S.GDPisunaffected.
c.U.S.investment,U.S.GDP,andGermanGDPareunaffectedbecausetractorsareintermediategoods.
d.U.S.investment,U.S.GDP,andGermanGDPallincrease.
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