What’s special about the numeraire in an economy? A. It’s used to calculate constant growth rate in per-capital GDP B. It’s only used in the income approach of measuring GDP C. It determines the level of factor productivity in the Cobb-Douglas function D. Its value is used to measure the prices of all other goods and services

What’s special about the numeraire in an economy? A. It’s used to calculate constant growth rate in per-capital GDP B. It’s only used in the income approach of measuring GDP C. It determines the level of factor productivity in the Cobb-Douglas function D. Its value is used to measure the prices of all other goods and services

Economics: Private and Public Choice (MindTap Course List)

16th Edition

ISBN:9781305506725

Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson

Chapter8: Economic Fluctuations, Unemployment, And Inflation

Section: Chapter Questions

Problem 14CQ

See similar textbooks

Similar questions

How is it calculated and what is the importance of the growth rate of GDP or GNP of Puerto Rico or of any country? Explain.
a. If the GDP deflator is 125 in a country whose real GDP is calculated as 400 billion TL in 2019, what is its nominal GDP? b. If the economy in option a grew by 10% in 2020, what is the real GDP in 2020?
Suppose that Indonesia's national production function is Y = K 05L 05, where K is the amount of land and Lis the amount of labor. The economy starts when the amount of land owned is 100 units and the number of workers is 100 units. Calculate the following indicators. a. How much output is produced? b. What are the labor wages and land rent? c. What is the share of the output received by labor? d. If a natural disaster occurs that causes the population to be reduced by half, what is the new level of national output? e. What are the new rates of labor wages and land rent? f. What share of output does the labor receive now?
Why do economists prefer to use real gross domestic product (RGDP) instead of nominal gross domestic product (NGDP) when measuring the economic growth of a country? Why is real GDP considered more relevant than the other?
Which of the following equals the change in an economy's capital stock from one period to the next? ... A. wealth B. gross investment C. depreciation D. net investment E. stock
Why does GDP depend on productivity in the long run?
Explain the two sources for potential GDP growth in words and diagrams
how to find gross investment in the economy? is it correct if i add Net investment to Capital Consumption? Gross Investment = Net investment + Capital Consumption
Define GDP growth in an economy.
a country has the following nominal GNP and output data: If the base year is determined as 20I1, then: a. Calculate data on prices, real GNP, Price Index, Inflation Rate, and Economic Growth Ratevfrom 2010 to 2014! b. Give the conclusion from the calculation of your Economic Growth Rate!
what is the importance of calculating the growth rate of nominal GDP and real GDP?
Answer the part d,e and f... Thank you.. Suppose that nominal GDP was $9500000.00 in 2005 in Fairfax County Virginia. In 2015, nominal GDP was $11000000.00 in Fairfax County Virginia. The price level rose 2.00% between 2005 and 2015, and population growth was 3.25%. Calculate the following figures for Fairfax County Virginia between 2005 and 2015. Give all answers to two decimals. a. Nominal GDP growth was _______ %. b. Economic growth was ________ %. c. Inflation was ______%. d. Real GDP growth was ________%. e. Per capita GDP growth was _______%. f. Real per capita GDP growth was ________%.