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1. [2 Marks each] Identify whether or not each of the following would be included in GDP, and explain. a. A home-owner repairs his own leaking roof. b. Fruits are sold on the market. c. A Canadian business sells medical equipment to a Chinese hospital. d. Students do community volunteer work for free. e. An owner of a Canada Saving Bonds is paid interest on this bond.2. [2 Marks each] The data in the table apply to a hypothetical country, Metrica, during 2016. Metrica's National Accounts (2016, In $ billions) Corporate profits 55 Exports 68 Wages and Salaries 546 Net investment income to the rest of the world 8 Investment 157 Government spending 184 Indirect taxes 75 Consumption 490 Interest 43 Imports 27 Depreciation 79 Rents 56 Statistical discrepancy ? What is the income-based estimate of Metrica's GDP? b. What is the expenditure-based estimate of Metrica's GDP? c. What is the value of the statistical discrepancy? d. What is Metrica's GDP? e. What is Metrica's GNP? Is it higher or lower than its GDP?3. The table below gives data on student A's monthly purchases during 2015 and 2016. Student A's Monthly Purchases. Price ($) Quantities Consumed per month 2015 2016 2015 2016 Hotdogs 1.50 1.60 3 2 Cans of Cola 0.75 0.70 16 18 Chocolate Bars 1.00 1.00 7 7 Magazines 3.50 4.50 3 2 DVD rentals 3.00 2.75 2 3 a. [2 Marks] Calculate the value of Student A's 2015 shopping basket using 2015 prices. b. [2 Marks] Calculate the value of Student A's 2015 shopping basket using 2016 prices. c. [4 Marks] If 2015 is used as the base year, what is the 2015 value of Student A's price index? What is the 2016 value of this index? d. [2 Marks] Using 2015 as the base year, what is the inflation rate between 2015 and 2016?4. [2.5 Marks each] Use an aggregate demand and aggregate supply diagram to illustrate and explain new each f the following will affect the equilibrium price level and real GDP: a. There is an increase in share prices en Canadian stack markets 13. Workers negotiate for higher wages c. The rate cf adaption of new technologies by Canadian businesses increases d. Canadian businesses anticipate that prats will increase