1. (Limitations of National Income Accounting) Explain why each of the following should be taken into account when GDP data are used to compare the "level of well-being" in different countries:
2. Population levels
3. The distribution of income
4. The amount of production that takes place outside of markets
5. The length of the average work week
6. The level of environmental pollution

1. (National Income Accounting) Use the following data to answer the questions below:

__________________________________Billions of Dollars ($)

Net investment $110

Depreciation 30

Exports 50

Imports 30

Government purchases 150

Consumption 400

Production taxes (net of subsidies) 35

Income earned but not received 60

Income received but not earned 70

Personal income taxes 50

Employee compensation 455

Corporate profits 60

Rental income 20

Net interest 30

Proprietor's income 40

Net earnings of U.S. resources abroad 40

Statistical discrepancy 10

1. Calculate GDP using the income and the expenditure methods.
2. Calculate gross investment.
3. Calculate net national product, national income, personal income, and disposable income.