1) How do public television stations, like PBS, try to overcome the free rider problem? 2) Why is a football game on ESPN a quasi-public good but a game on the NBC, CBS, or ABC is a public good? 3) Provide two examples of goods/services that are classified as private goods/services even though they are provided by a federal government. 4) Radio stations, tornado sirens, light houses, and street lights are all public goods in that all are nonrivalrous and nonexclusionary. Therefore why does the government provide tornado sirens, street lights and light houses but not radio stations (other than PBS stations)? Ch. 19 19.1 Summary: The size of a nation's economy is commonly expressed as its gross domestic product (GDP), which measures the value of the output of all goods and services produced within the country in a year. GDP is measured by taking the quantities of all goods and services produced, multiplying them by their prices, and smuming the total. Since GDP measures what is bought and sold in the economy, it can be measured either by the sum of what is purchased in the economy or what is produced. Demand can be divided into consumption, investment, government, exports, and imports. What is produced in the economy can be divided into durable goods, nondurable goods, services, structures, and inventories. To avoid double counting, GDP counts only final output of goods and services, not the production of intermediate goods or the value of labor in the chain of production. Questions: 1) U.S. macroeconomic data are thought to be among the best in the world. Given what you learned in the Clear It Up "How do statisticians measure GDP?", does this surprise you? Or does this simply reflect the complexity of a modern economy? 2) What does GDP not tell us about the economy