Would you rather live in a period of inflation (plentiful jobs but hugely inflated prices, loss of value for the dollar) or deflation (very high unemployment, low spending, declining prices, but higher value of the dollar)? Explain your answer in detail by pointing out the positives and negatives of each.
Computer software before 1999 was treated as an intermediate good and not counted in GDP. Since 1999 it has been classified as a final good and considered a part of investment (I). Tax consultants (H & R Block) use computer software to prepare individual income taxes. Discuss a) why in this case it is an intermediate good and should not be counted in GDP and b) why it should be considered investment and should be counted in GDP.