Define a consumption b investment c government

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Unformatted text preview: per-person basis (the same as a per capita basis) each person has Defining Terms 1. Define: a. consumption b. investment c. government purchases d. export spending e. import spending Reviewing Facts and Concepts 2. Why is import spending subtracted from the sum of consumption, investment, government purchases, and export spending in computing GDP? 3. Suppose consumption is $2,000 billion, investment 296 Chapter 11 Measuring Economic Performance fewer goods and services (on average) in country X than in country Y. In short, a bigger country GDP does not necessarily mean a bigger per capita GDP. Per capita GDP GDP/Population QUESTION: What are some countries of the world that have a high per capita GDP? ANSWER: In 2004, Luxembourg had the highest per capita GDP at $58,900. The United States was second at $40,100. Norway was fourth at $40,000, Switzerland was tenth at $33,800, and Canada was fifteenth at $31,500. The country with the lowest per capita GDP was East Timor at $400. To find the current rank ordering of...
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This document was uploaded on 01/16/2014.

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