Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ANSWER: (A, B, or C) The gross domestic product (GDP) of the United States is defined as the A. market value of, B. cost of

ANSWER: (A, B, or C)

The gross domestic product (GDP) of the United States is defined as the A. market value of, B. cost of producing, C. wholesale cost of all A. final and intermediate goods and services produced, B. final goods and services produced, C. final goods and services consumed A. within the United States, B. by U.S citizens, C. by U.S. -owned companies in a given period of time.

Based on this definition, indicate which of the following transactions will be included in (that is, directly increase) the GDP of the United States in 2017.

Scenario 2017 GDP

Included or Excluded

Athleticus, a U.S. shoe company, produces a pair of sneakers at a plant in Vietnam on March 18, 2017. Athleticus imports the pair of sneakers into the United States on May 7, 2017.

  • Included or Excluded

Zippycar, a U.S. automobile company, produces a convertible at a manufacturing plant in Minneapolis on January 10, 2017. It sells the car at a dealership in Detroit on February 7, 2017.

  • Included or Excluded

An accountant starts a client's 2017 tax return on April 14, 2018, finishing it just before midnight on April 15, 2018

  • Included or Excluded

Sofaland, a Swedish furniture company, produces a table at a plant in Virginia on December 1, 2017. It sells the table to a college student on December 28.

  • Included or Excluded

Treetopplers, a U.S. lumber company, produces wood at a plant in Oregon on September 30, 2017. It sells the wood to Buildit and Partners, a developer, for use in the production of a new house that will be built in the United States in 2017. (Note: Focus exclusively on whether production of the wood increases GDP directly, and ignore the effect of production of the new house on GDP.)

  • Included or Excluded

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Human Resources In The Urban Economy

Authors: Mark Perlman

1st Edition

1317332474, 9781317332473

More Books

Students also viewed these Economics questions

Question

What is impulse buying? (p. 319)

Answered: 1 week ago