Which of the following would be included in the investment component of

# Which of the following would be included in the

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4.Which of the following would be included in the “investment” component of Canadian GDP? a) purchases of Canadian stocks and bonds b) purchases of capital equipment c) purchases by US citizens of Canadian stocks and bonds d) purchases of new cars built in the US by Canadian workers 5.The country of Philanthropia does not trade with any other country. Its GDP is \$20 billion. Its government collects \$4 billion in taxes and pays out \$3 billion to households in the form of transfer payments. Consumption equals \$15 billion, and investment equals \$2 billion. What is the value of the goods and services purchased by the government of Philanthropia?

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Ana Vukadin ECON 1002 E 6.How are nominal and real GDP related? 7.Over the past few decades, Canadians have chosen to cook less at home and eat more at restaurants. How has this trend affected GDP? 8.Use the information provided in the table below to answer this question. YEAR Price of Cheese Quantity of Cheese Price of Cracker Quantity of Crackers 2010 (base year) \$2 150 \$3 100 2011 \$3 200 \$4 150 a) In 2010, nominal GDP is \$500, real GDP is \$50, and the GDP deflator is 50 b) In 2011, nominal GDP is \$1200, real GDP is \$50, and the GDP deflator is 171 c) In 2010, nominal GDP is \$500, real GDP is \$350, and the GDP deflator is 200 d) In 2011, nominal GDP is \$1200, real GDP is \$850, and the GDP deflator is 141
Ana Vukadin ECON 1002 E 9.Which of the following is an important difference between the GDP deflator and the consumer price index?

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