Consider a closed economy consisting of four industries, as depicted in the table. Closed economy with...
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Consider a closed economy consisting of four industries, as depicted in the table. Closed economy with 4 industrien, all values in currency units (CU) Industry 1 Industry 2 Industry 3 Industry 4 100 200 300 400 Revenue Expenditures Salary 50 Purchases in industry 1 D Purchases In Industry 20 Purchases In Industry 3 40 Purchases in industry 4 10 Profits b Value-added, industry 1: Value-added, industry 2 Value-added, industry 3: Value-added, industry 4: 2(a) Calculate GDP according to the production approach. GDP: 100 p p GDP p b 100 2(b) Calculate GDP according to the expenditure approach Value of final goods and services, industry 1: Value of final goods and services, industry 2 Value of final goods and services, industry 3: Value of final goods and services, industry 4: 50 P 100 Р 110 40 30 10 50 260 0 60 Maximum marks: 2.5 2(c) Calculate GDP according to the income approach. Total labor income: Total capital income: GDP: Maximum marks: 2(d) Which industry uses no intermediate goods? Industry Which industry produces a pure intermediate good, i.e., a good that is not sold to final consumers? Industry Which industry produces a pure final good, i.e., a good that is not sold to other industries? Industry Consider a closed economy consisting of four industries, as depicted in the table. Closed economy with 4 industrien, all values in currency units (CU) Industry 1 Industry 2 Industry 3 Industry 4 100 200 300 400 Revenue Expenditures Salary 50 Purchases in industry 1 D Purchases In Industry 20 Purchases In Industry 3 40 Purchases in industry 4 10 Profits b Value-added, industry 1: Value-added, industry 2 Value-added, industry 3: Value-added, industry 4: 2(a) Calculate GDP according to the production approach. GDP: 100 p p GDP p b 100 2(b) Calculate GDP according to the expenditure approach Value of final goods and services, industry 1: Value of final goods and services, industry 2 Value of final goods and services, industry 3: Value of final goods and services, industry 4: 50 P 100 Р 110 40 30 10 50 260 0 60 Maximum marks: 2.5 2(c) Calculate GDP according to the income approach. Total labor income: Total capital income: GDP: Maximum marks: 2(d) Which industry uses no intermediate goods? Industry Which industry produces a pure intermediate good, i.e., a good that is not sold to final consumers? Industry Which industry produces a pure final good, i.e., a good that is not sold to other industries? Industry
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To calculate GDP using different approaches and determine the characteristics of the industries well go step by step 2a Calculation of GDP according t... View the full answer
Related Book For
Intermediate Financial Management
ISBN: 978-1111530266
11th edition
Authors: Eugene F. Brigham, Phillip R. Daves
Posted Date:
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