|
Item
|
Billions
of dollars
|
|
Consumption expenditure
|
6,258
|
|
Investment
|
1,623
|
|
Government expenditure on goods and services
|
1,630
|
|
Exports of goods and services
|
998
|
|
Imports of goods and services
|
1,252
|
The table above gives the values of different expenditures
in the United States during 1999. Answer the following questions about the
United States.
a) What
was the value of net exports of goods and services in 1999?
b) What
was (nominal) GDP equal to in 1999?
c) What
was the (nominal) value of total production equal to in 1999?
#Parkin #11edition #GDP #Chapter21
Answer:
ReplyDeletea) Net exports of goods and services equals the value of exports of goods and services, $998 billion, minus the value of imports of goods and services, $1,252 billion, or -$254 billion.
b) GDP equals the sum of consumption expenditure, $6,258, plus investment, $1,623, plus government expenditure on goods and services, $1,630, plus net exports, -$254, or $9,257 billion.
c) The value of total production equals the value of GDP, so total production was $9,257 billion in 1999.