If your grandparents buy a newly built retirement home, this transaction would affect ? A. investment B. net exports C. government purchases D. consumption E. none of these answers
How is your purchase in Pakistan of a Rs40,000 BMW automobile that was produced entirely in Germany recorded in the Pakistan’s GDP accounts ? A. Consumption in increase by Rs40,000 and net export decreases by Rs40,000 B. Net exports increase…
If Pakistan’s GDP exceeds Pakistan’s GNP, then ? A. intermediate production exceeds final productionB. foreigners are producing more in the Pakistan then Pakistanis are producing in foreign countries C. real GNP exceeds nominal GNP D. real GDP exceeds nominal GDP
GDP would include which of the following ? A. the value of taking a day off from workB. consulting services C. intermediate sales D. illegal drug sales E. housework
If nominal GDP in 2005 exceeds nominal GDP in 2004, then the production of output ? A. must have fallen B. must have risen C. must have stayed the sameD. may have risen fallen, or stayed the same because there…
Pakistan’s Gross Domestic Product (in contrast to Gross National Product) measures the production and income of ? A. Pakistan -owned firms no matter where they are located in the worldB. The domestic manufacturing sector only C. The domestic service sector…
Which of the following would be excluded from UK GDP fro 2005? The sale of ? A. a haircut B. the value of a lawyer’s services C. a 2005 Honda made in Swindon D. All of things mentioned in these…
An example of a transfer payment is ? A. Profit B. rentC. unemployment benefits D. government purchases E. wages
In a recession a government ? A. Is likely to want to decrease demand in the economy B. Is likely to want to decrease demand in the economy C. Is likely to want to stabilise demand in the economyD. Is…
To adjust GDP from market prices to factor cost ? A. Add indirect taxesB. Subtract subsidies C. Deduct indirect taxes and subsidies D. Deduct indirect taxes and add subsidies