This preview shows page 1. Sign up to view the full content.
Unformatted text preview: a. Does not count real estate resales E. Government spending is 20% of GDP 1. State and local governments produce 12% of GDP 2. Federal Government produces 8% of GDP a. Two-thirds is defense-related spending F. Imports and exports have opposite effects on GDP 1. Exports add (raise) GDP, while imports subtract from GDP a. Imports exceed exports, so net effect of trade is a deficit b. Imports are growing faster than exports due to job outsourcing in manufacturing G. GDP per capita is used to compare GDP between countries 1. Divides a countrys economic output by its population 2. Basically, total production value distributed evenly amoung nations people...
View Full Document
This note was uploaded on 03/12/2012 for the course ECON 110 taught by Professor Heller during the Spring '12 term at Georgia Perimeter.
- Spring '12