Business Project Essay

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Eco 201: HW Assignment for Unit 2 Chapter 24 (Tentative Due Date: by October 4) Question 3 Which of the following goods are usually intermediate goods and which are usually final goods: running shoes; cotton fibers; watches; textbooks; coal; sunscreen lotion; lumber? LO1 Question 6 Provide three examples of each: consumer durable goods, consumer nondurable goods, and services. Question 12 Which of the following are included or excluded in this year’s GDP? Explain your answer in each case. a. Interest received on an AT&T corporate bond. b. Social Security payments received by a retired factory worker. c. Unpaid services of a family member in painting the family home. d. Income of a dentist from the dental services provided. e. A monthly allowance a college student receives from home. f. Money received by Josh when he resells his nearly brand-new Honda automobile to Kim. g. The publication and sale of a new college textbook. h. An increase in leisure resulting from a 2-hour decrease in the length of the workweek, with no reduction in pay. i. A $2 billion increase in business inventories. j. The purchase of 100 shares of Google common stock. Problem 2 If in some country personal consumption expenditures in a specific year are $50 billion, purchases of stocks and bonds are $30 billion, net exports are -$10 billion, government purchases are $20 billion, sales of second-hand items are $8 billion, and gross investment is $25 billion, what is the country’s GDP for the year? Problem 7 The following table shows nominal GDP and an appropriate price index for a group of selected years. Compute real GDP. Indicate in each calculation whether you are inflating or deflating the nominal GDP data. LO3 Chapter 25 (Tentative Due Date: by October 11) Question 4 What are the four supply factors of economic growth? What is the demand factor?
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