Gross Domestic Product Worksheet, writing homework help

Gross Domestic Product Worksheet

1.Use the information in the table below to calculate Net Exports (NX) and gross domestic product (GDP), in billions of dollars.

Consumption Spending. . . . . .. . . . . . . . . .$12,000 billion

Gross Investment Spending . . . . . . . . . . . .$3,100 billion

Government Purchases. . . . . . . . . . . . . . .$3,400 billion

Exports. . . . . . . . . . . . . . . . . . . . . .$2,200 billion

Imports. . . . . . . . . . . . . . . . . . . . . .$2,700 billion

Net Exports =

Are net exports positive or negative? Does this indicate a trade surplus or a trade deficit?

Gross Domestic Product (GDP) =

2.Suppose nominal GDP is equal to $16,000 billion and the GDP Deflator is equal to 125; calculate real GDP, in billions of dollars.

Real GDP =

3.What is the underground economy (give an example)? Do current GDP estimates include activity that takes place in the underground economy?