--%>

Question based on GDP

In calculating the GDP national income accountants: A) treat inventory changes as an adjustment to personal consumption expenditures. B) ignore inventories because they do not represent final goods. C) subtract increases in inventories or add decreases in inventories. D) add increases in inventories or subtract decreases in inventories.

   Related Questions in Microeconomics

  • Q : Perfect competition ‘In the real world

    ‘In the real world there is no industry which conforms precisely to the economist’s model of perfect competition. This means that the model is of little practical value

  • Q : Determine demand when total revenue and

    When raising ticket prices for Brad Paisley concert tickets raises total ticket revenue, in that case the demand for the concert tickets: (i) perfectly price inelastic. (ii) relatively price inelastic

  • Q : Price elastic of supply between two

    In between point c and d in this supply curve of 2×4s, the price elastic of supply as: (i) 1.0. (ii) 1.6. (iii) 2.2. (iv) 2.8. (v) 3.4.

    Q : Market shifting while supply fallen and

    Specified the shifts demonstrated in the market for peanuts, there is the: (1) price will fall.(2)  quantity of output will rise slightly. (3) supply has fallen while demand has grown. (4) main adjustment happens in the quantity exchanged. (5) va

  • Q : Equilibrium of a commodity What takes

    What takes place to equilibrium of a commodity when there is a decrease in its demand and increase in its supply? Answer: The equilibrium price will reduce.

  • Q : Stream of Present Value of Annual Income

    The present value of an annual income stream which goes onto forever is: (w) infinite. (x) zero. (y) the annual income multiplied through the interest rate. (z) the annual income divided through the interest rate.

  • Q : Minimum wage law for poor workers A

    A minimum wage law does NOT make pressures which tend to: (1) benefit high wage workers. (2) cause unemployment among unskilled workers. (3) uniformly help poor workers. (4) increase teenage unemployment. (5) foster discrimination.

    Q : Reform or revision of the welfare system

    The most important reform / revision of the welfare system within the past half century occurred throughout the administration of President as: (1) Richard Nixon [1971]. (2) Jimmy Carter [1978]. (3) Ronald Reagan [1984]. (4) Bill Clinton [1996]. (5) G

  • Q : Problem on Monopsony I have a problem

    I have a problem in economics on Monopsony. Please help me in the following question. The monopsonist is a price: (1) Taker as a buyer. (2) Taker as a seller. (3) Maker as the seller. (4) Maker as the buyer. Choose

  • Q : Hire labor at any amount in purely

    When this purely competitive firm can hire any amount of labor at pre hour wage of $9 per worker, in this given figure, as it will hire: (1) L2 workers. (2) L3 workers. (3) L4 workers. (4) L5 workers. (5) L<