ECN 204 Lecture 1: Macroeconomics- Chapter 7
Document Summary
Statistics canada compiles national income and product accounts. Intermediate goods: products purchased for resale or further processing or manufacturing: value added. Two types of nonproduction transactions: financial transactions, public transfer payments, private transfer payments. The expenditure approach: the expenditures approach adds up, personal consumption expenditures (c, gross investment (ig, government purchases (g, net exports (xn) = exports (x) imports (m) Value added in a five-stage production process: gross investment (ig) includes, all final purchases of machinery, equipment, and tools by firms, all construction, changes in inventories. Intellectual property products (r&d: net investment = gross investment - depreciation. Gross investment, depreciation, net investment, and the stock of capital. Gdp = c + ig + g + xn: gdp as the sum of all the money spent in buying final goods and services, for canada in 2014 (in billions, from table 7-3): Gdp = + + + = . Comparative gdps of selected nations, 2013 (trillions of dollars)