Question
3.Identify which of the following are included in US GDP in 2017 and which are not. For transactions included in GDP, state the component of
3.Identify which of the following are included in US GDP in 2017 and which are not. For transactions included in GDP, state the component of GDP that the transaction falls under.Also include a brief explanation why each transaction is or is not included in GDP for 2017.
a. You purchase 100 stocks ofPepsi-cola, Ltd in December 2017.
b. Ford produces a Mustang (model 2008) in 2017 that was produced in 2016.
c. American Airlines (an American firm) buys 10 aircrafts from Airbus, Ltd. (a French firm) in December 2014.The aircrafts were produced in 2017.
You get a haircut from your Argentinian neighbor in 2017.Your neighbor owns their own hair salon.
You get a haircut from your Argentinian neighbor in 2017.Your neighbor is a broke economics professor who cuts hair for fun.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Crafting and Executing Strategy The Quest for Competitive Advantage
Authors: Arthur Thompson, Margaret Peteraf, John Gamble, A. J. Strickland III
19th edition
78029503, 978-0078029509
