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(21 points) Consider the following economy with one meat producer, one restaurant, one govern- ment and a group of consumers/workers. The economic activities of each

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(21 points) Consider the following economy with one meat producer, one restaurant, one govern- ment and a group of consumers/workers. The economic activities of each entity are given by the following tables: . Meat producer produces 10 million pounds of meat. The price of meat is $2 per pound. 4 million pounds of meat are sold to final customers and 6 million pounds are sold to the restaurant. The meat producer pays $5 million as wages, $0.5 million as interests, and pays $2.5 million as sales tax. total revenue $20 million=10 million x 2 WAYOS $5 million interest on loan $0.5 million taxes $2.5 million . The restaurant produces $30 million worth of meals, by using 6 million pounds of meat. The restaurant pays $4 million as wages and $3 million as sales tax. total revenue $30 million cost of meat $12 million=6 million x 2 wages $4 million taxes $3 million . Government collects total tax revenue of $6.5 million, and pays $7 million as unemployment insurance. It runs a deficit of 0.5 million. The government covers the budget deficit by issuing government bond. tax revenue $6.5 million payment of unemployment insurance $7 million Consumers collects $9 million wage income, $0.5 million interest income, and $7 million unemployment insurance. They also pay $1 million income tax and buys $0.5 million worth of government bond. wage income $9 million unemployment insurance $7 million interest income $0.5 million income tax $1 million purchase of government bond $0.5 million Calculate gross domestic product for the year using 1) the product approach (7 points) 2) the expenditure approach (7 points) 3) the income approach (7 points)

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