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ECO CHAPTER 2

ECO CHAPTER 2 - ,whichisdefinedas YourAnswer CorrectAnswer...

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The product approach to the national income accounts uses the concept of value added, which is defined as Your Answer: accounting profits after taxes are paid. Correct Answer: the value of a producer's output minus the value of the inputs it purchases from other  producers. According to the fundamental identity of national income accounting, Your Answer: GDP = GNP – NFP. Correct Answer: total production = total income = total expenditure. Which of the following statements is true? Your Answer: Capital goods are produced in one year and final goods are produced over a period of more  than one year. Correct Answer: Capital goods are final goods, because they are not used up in the same period in which they  are produced. Inventories are Your Answer: included in the measurement of capital goods. Correct Answer:
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ECO CHAPTER 2 - ,whichisdefinedas YourAnswer CorrectAnswer...

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