GDP Flashcards
What does GDP stand for?
Gross domestic product.
What is GDP?
The MARKET VALUE of all final goods and SERVICES produced within a nation in a given period of time.
What is GDP used to measure?
The overall output and performance of an economy.
A monthly check received by an economics student who has been granted a government scholarship.
Excluded; transfer payment.
A farmer’s purchase of a new tractor.
Included; Business Investment.
A plumber’s purchase of a used truck.
Excluded; Already counted.
The cashing of a US government bond.
Excluded; Transfer Payment.
The services of a mechanic in fixing the radiator on his car.
Excluded; Not recorded.
A Social Security check paid by the government to a retired store clerk.
Excluded; Transfer payment.
An increase in business inventories.
Included; Business Investment.
The government’s purchase of a new submarine for the Navy.
Included; Government.
A barber’s income from cutting hair.
Included; Consumption
Income received from the sale of a Nike stock.
Excluded; Transfer payment.
