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Suppose that Canada produces 1,000,000 automobiles valued at $15,000 each. Of these, 700,000 are sold to consumers, 200,000 are sold to businesses, 50,000 are sold
Suppose that Canada produces 1,000,000 automobiles valued at $15,000 each. Of these, 700,000 are sold to consumers, 200,000 are sold to businesses, 50,000 are sold to government, and 25,000 are sold abroad. No automobiles are imported. The automobiles let unsold at the end of the year are held in inventory by the auto producers. Find GDP in terms of a). the market value of output. b). the components of expenditure.
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