Exhibit 11-1 Gross domestic product data
National income account(billions of dollars)
Personal consumption expenditures (C)$500
Exports (X) 50
Federal government spending (G) 100
State and local government spending (G) 200
Imports (M) 15
Gross private domestic investment (I) 65
____5.As shown in Exhibit 11-1, net exports are:
a.$50 billion.
b.$15 billion.
c.$35 billion.
d.$65 billion.
____6.Which of the following would not be included in the gross private domestic investment (I) category of GDP?
a.A bakery's purchase of a new oven.
b.A retailer's additions to its inventories.
c.Newly built residential construction.
d.A bank's purchase of a U.S. Treasury bond.
____7.GDP does not count:
a.the estimated value of homemaker production.
b.state and local government purchases.
c.spending for new homes.
d.changes in inventories.
____8.The income that people earn in resource markets is called:
a.national income.
b.personal income.
c.disposable personal income.
d.transfer payments.
e.net national product.
National income account(billions of dollars)
Personal consumption expenditures (C)$500
Exports (X) 50
Federal government spending (G) 100
State and local government spending (G) 200
Imports (M) 15
Gross private domestic investment (I) 65
____5.As shown in Exhibit 11-1, net exports are:
a.$50 billion.
b.$15 billion.
c.$35 billion.
d.$65 billion.
____6.Which of the following would not be included in the gross private domestic investment (I) category of GDP?
a.A bakery's purchase of a new oven.
b.A retailer's additions to its inventories.
c.Newly built residential construction.
d.A bank's purchase of a U.S. Treasury bond.
____7.GDP does not count:
a.the estimated value of homemaker production.
b.state and local government purchases.
c.spending for new homes.
d.changes in inventories.
____8.The income that people earn in resource markets is called:
a.national income.
b.personal income.
c.disposable personal income.
d.transfer payments.
e.net national product.