ECON 2010 Chapter Notes - Chapter 4: Fixed Investment, Capital Good
Document Summary
Gdp: gross domestic product market value of the final goods and services produced in a country during a given period. Value an aggregate measure of quantities produced is needed aggregate by adding up the market value of the market value of the final goods and services produced in a country during a given period. For non-market goods, such as government goods and services it is value as a cost. Final goods and services consumed by the ultimate user. Services used up in the production of final goods. > not included in gdp to avoid double counting a long-lived good used in the production of other goods and services. Value added the market value of the product minus the cost of inputs purchased from other firms. > count value that is added in the year it is produced. Four users of final goods: household firm government foreign customs. >total spending for final goods less value of imports.
