ECO-2013 Lecture Notes - Lecture 5: Market Basket, Level Of Measurement, Gdp Deflator

31 views1 pages
10 Mar 2016
School
Department
Course

Document Summary

Gross domesic product (gdp): the market value of inal goods and services produced within a country during a speciic ime period. Gdp as a measure of both output and income. Expenditure approach: gdp is the sum of purchases, gdp = y = c + i + g + x, c: consumpion; purchases for goods and services by consumers ii. Investments: businesses buying inal goods and services to use in their producion of another good and consumers buying houses. Investments are not buying stocks and bonds: g: government purchases, expenditures include security, medicare, medicaid etc. Government purchases do not include these: x: net exports (exports imports) Income approach: add up income generated in the producion of goods and services. Key point: higher income levels come from (are caused by) more output a. In other words, more output comes irst, then higher income comes second. Adjusing for price changes and deriving real gdp. Nominal (money) ___ = current year data only.

Get access

Grade+20% off
$8 USD/m$10 USD/m
Billed $96 USD annually
Grade+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
40 Verified Answers
Class+
$8 USD/m
Billed $96 USD annually
Class+
Homework Help
Study Guides
Textbook Solutions
Class Notes
Textbook Notes
Booster Class
30 Verified Answers

Related textbook solutions

Related Documents

Related Questions