1. Given the following data, answer questions. Compute GDP, NDP, NI, and DI if PI is $740
NOTE: Use both the expenditure and the income approaches for # 1.
Personal taxes……………30 Gross private domestic investment………….145
Depreciation……………..40 Corporate income taxes………………………65
Transfer payments…….....35 Undistributed income………………………...45
U.S. exports……………..12 Compensation for employees……………….540
Dividends………………..37 Indirect business taxes……………………...105
Corporate profits……….147 Personal consumption expenditure…………630
Rents…………………….10 Social security contributions……………….110
Interest.. ……………… 38 Federal government purchases……………..140
U. S. imports……………..7 State & local government purchases………..50
Proprietors’ income……..90
2. Given the following data, compute GDP, NDP, and NI
Personal consumption expenditure………………….219.1
Personal taxes………………………………………...40.5
U.S. exports of goods & services…………………….17.8
Transfer payment…………………………………….13.9
Net private domestic investment……………………..42.1
Depreciation………………………………………….11.8
Government purchases……………………………….59.4
Rents………………………………………………......5.0
U.S. imports of goods & services…………………....20.5
Interest...……………………………………………...12.6
Indirect business taxes………………………………..16.6
3. Given the following income data, answer questions #1 and #2 properly.
Year C Ig G Xn GDP
1 $ 3971.62 $800.20 $1235.38 $ --20.00 = $_________
2 $ 5407.02 ------------ 1580.51 --40.36 = 8318.48
3 $ 5584.65 1390.52 -------------- 89.33 = 8708.44
a. Fill- in all the missing blanks.
b. How big/small is the size of C, G, and Ig out of Year2 GDP?
1. Given the following data, answer questions. Compute GDP, NDP, NI, and DI if PI is $740
NOTE: Use both the expenditure and the income approaches for # 1.
Personal taxes……………30 Gross private domestic investment………….145
Depreciation……………..40 Corporate income taxes………………………65
Transfer payments…….....35 Undistributed income………………………...45
U.S. exports……………..12 Compensation for employees……………….540
Dividends………………..37 Indirect business taxes……………………...105
Corporate profits……….147 Personal consumption expenditure…………630
Rents…………………….10 Social security contributions……………….110
Interest.. ……………… 38 Federal government purchases……………..140
U. S. imports……………..7 State & local government purchases………..50
Proprietors’ income……..90
2. Given the following data, compute GDP, NDP, and NI
Personal consumption expenditure………………….219.1
Personal taxes………………………………………...40.5
U.S. exports of goods & services…………………….17.8
Transfer payment…………………………………….13.9
Net private domestic investment……………………..42.1
Depreciation………………………………………….11.8
Government purchases……………………………….59.4
Rents………………………………………………......5.0
U.S. imports of goods & services…………………....20.5
Interest...……………………………………………...12.6
Indirect business taxes………………………………..16.6
3. Given the following income data, answer questions #1 and #2 properly.
Year C Ig G Xn GDP
1 $ 3971.62 $800.20 $1235.38 $ --20.00 = $_________
2 $ 5407.02 ------------ 1580.51 --40.36 = 8318.48
3 $ 5584.65 1390.52 -------------- 89.33 = 8708.44
a. Fill- in all the missing blanks.
b. How big/small is the size of C, G, and Ig out of Year2 GDP?
Related textbook solutions
Related questions
| Personal consumption expenditures | $245 |
| Net business transfer payments | 9 |
| Net factor income from the ROW | 4 |
| Transfer payments | 12 |
| Rents | 14 |
| Statistical discrepancy | 8 |
| Consumption of fixed capital (depreciation) | 27 |
| Social Security contributions | 20 |
| Net Interest | 13 |
| Proprietors’ income | 33 |
| Net exports | 11 |
| Dividends plus personal interest income | 16 |
| Compensation of employees | 223 |
| Indirect Taxes minus subsidies | 18 |
| Personal taxes | 26 |
| Corporate profits | 56 |
| Government purchases | 72 |
| Net private domestic investment | 33 |
| Surplus of government enterprises | -9 |
a. Using the above data, determine GDP by both the expenditures and the income approaches. Then determine NDP.
b. Now determine NI in two ways: first, by making the required additions or subtractions from NDP; and second, by adding up the types of income and taxes that makeup NI.
c. Adjust NI (from part b ) as required to obtain PI.
d. Adjust PI (from part c ) as required to obtain PDI.
