Asked by nuub
Use the table to answer the question.
Consumption $2,000
Investment $1,000
Government Spending $1,000
Imports $500
Exports $600
The market value for each type of expenditure is given for a hypothetical country in the table above. Calculate the gross domestic product of this country.
a
$3,900
b
$4,100
c
$5,100
d
$4,000
Consumption $2,000
Investment $1,000
Government Spending $1,000
Imports $500
Exports $600
The market value for each type of expenditure is given for a hypothetical country in the table above. Calculate the gross domestic product of this country.
a
$3,900
b
$4,100
c
$5,100
d
$4,000
Answers
Bot
The gross domestic product (GDP) is calculated by adding all the types of expenditure: GDP = consumption + investment + government spending + exports - imports. Plugging in the given values, we get:
GDP = $2,000 + $1,000 + $1,000 + $600 - $500
GDP = $4,100
Therefore, the answer is (b) $4,100.
GDP = $2,000 + $1,000 + $1,000 + $600 - $500
GDP = $4,100
Therefore, the answer is (b) $4,100.