ECN 211 Exam 2 2024 with 100% correct answers

GDP (Gross Domestic Profit) - correct answer the total market value of all final/finished goods and services produced within a country in a given period of time Not Included in GDP - correct answer -goods not bought/sold in a market (home production, charity work, free things) -intermediate goods -used items -illegal goods and services -goods produced in another country -financial transactions (bonds, stocks, etc.) -transfer payments (welfare, unemployment, etc.) Expenditure Approach of GDP - correct answer calculated by summing up all of the expenditures made on final goods and services 4 Main Aggregate Expenditures - correct answer -Consumption by households -Investment by businesses -Government spending on goods and services -Net exports (exports - imports of goods and services) GDP (Y) Calculation - correct answer Y = C + I + G + NX Consumption (C in GDP) - correct answer spending by households on goods and services, with the exception of purchases of new housing Investment (I in GDP) - correct answer -the purchase of goods that will be used in the future to produce more goods and services -the s