Answered

Discover the answers to your questions at Westonci.ca, where experts share their knowledge and insights with you. Experience the convenience of getting accurate answers to your questions from a dedicated community of professionals. Experience the ease of finding precise answers to your questions from a knowledgeable community of experts.

Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation. Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States?

a. The costs of overfishing and other overly intensive uses of resources
b. Federal government paychecks to soldiers
c. The value Of babysitting services, when the babysitter is paid in cash and the transaction isn't reported to the government
d. The variety of goods available to consumers

When a U.S. company purchases and imports wood from Brazil to use to build new houses within the United States, this purchase increases the ________ component of GDP while also ____________ net exports by the same amount. Therefore, the purchase of wood from Brazil causes_________ in US GDP.

Sagot :

Answer:

a, c , d

investment

decreasing

no effect

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export

Net export = exports – imports

When exports exceed import there is a trade deficit and when import exceeds import, there is a trade surplus.  

Items not included in the calculation off GDP includes:  

1. services not rendered to oneself

2. Activities not reported to the government  

3. illegal activities

4. sale or purchase of used products

5. sale or purchase of intermediate products

6. Externalities

Investment spending by businesses includes purchases made by businesses. So, investment spending increases. Net export decreases because import is a negative function of GDP. The increase and decrease cancel each other out and there would be no change in GDP

We appreciate your visit. Hopefully, the answers you found were beneficial. Don't hesitate to come back for more information. We appreciate your time. Please come back anytime for the latest information and answers to your questions. We're here to help at Westonci.ca. Keep visiting for the best answers to your questions.