PHYSICS 102 Lecture Notes - Lecture 13: John Bates Clark Medal, Net Domestic Product, New York Mercantile Exchange
Document Summary
Week 2 tracking the macro economy (chapter 23) (very relevant - + exchange rates + banking policy) Know how economic output can be measured. Know how to interpret (and to some extent) calculate, popular measurements of economic output such as real or nominal gdp per capita. Know the pros and cons of the various economic output measurements. Popular measurements of macro performance: gdp (per capita) Total value of final goods and services produced in economy during a given period (usually 1 year) [final product must be produced in country x] Final good/service consumable (e. g. gold ring) // barber (haircut) Intermediate good/service raw materials (e. g. gold) // security to protect a mall: is integrated in price of final good already! Thus: gdp counts final products (otherwise double count!) Add up value added of all producers (e. g. buy something for 5, sell it for 15 value. Add up all income paid to factors of production (not used)
