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Unformatted text preview: Firm 3 bought $4 million worth of lumber from the rest of the world. Firm 3 sold all of its furniture to households in the economy. Firm 1 Firm 2 Firm 3 Total Value of Sales $12 million $48 million $81 million Intermediate Goods $0 Wages $6 million $20 million $30 million Interest Payments $3 million $10 million $4 million Rent $2 million $7 million $12 million Profit $1 million $5 million $7 million Total Expenditure by Firm Value Added per Firm Give and explain the three methods of calculating Gross Domestic Product (GDP). Calculate GDP for this economy using all three methods. Show work clearly....
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This note was uploaded on 10/13/2009 for the course ECON 1221 taught by Professor Whitaker during the Winter '09 term at Langara.
- Winter '09