ECO100Y5 Chapter 7: ECO100 - Microeconomics Chapter 7 Textbook Notes
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ECO100Y5 Full Course Notes
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Keep track of the ows of money between different parts of the economy. Almost all countries calculate these set of numbers. Amount available to spend on consumption or to save. Disposable income = household income + gov. transfers - taxes. 2. interest on bonds: dividends on stocks. Measures the total value of all nal goods and services produce in the economy during a given year. Does not include the value of intermediate good. The yearly percentage change in the price index. Typically based o consumer price index (cpi - the most common measure of the aggregate price level) Measures the price level by calculating the ratio of nominal gdp to real gdp. Gdp de ator = nominal gdp / rgp x 100% Disposable income that is not spent on consumption. Private savings = disposable income - consumer spending. The total spending on domestically produced nal goods and services in the economy. + invest. spending, gov. purchases + (exports - imports)
