Economists use Gross Domestic Product (GDP) to measure
the economic activity and the national income.
are the major components of the USA GDP? Explain the contribution of each
component to the GDP with data. What is the difference between real Gross
Domestic Product (GDP) and nominal GDP? What is the relationship between
the real GDP and the business cycle?
2.Gross Domestic Product (GDP) only measures
the value of marketed goods and services for a country during a given period of
time. Is the GDP measure underestimating or overestimating national production
and total income in the economy? Why? What are the limitations of the GDP in
measuring total output and national welfare? What products (services) are
excluded from the GDP computation?
1) The table below indicates the total quantity supplied and demanded of
flashlights at different price levels.
Make certain to label the equilibrium price and equilibrium