Which of the following purchases would be counted as a final good in the GDP calculation?
a. A family's purchase of a used car.
b. A speculator's purchase of 100 shares of Apple Computer stock.
c. A deli's purchase of bread for making its sandwiches.
d. A business's purchase of new office equipment.
QUESTION 2GDP measures the economy's production of:
a. final goods and services.
b. intermediate goods.
c. consumer goods and services.
d. capital goods.
QUESTION 3Intermediate goods are goods and services used:
a. by the ultimate user.
b. by state and local governments.
c. as inputs.
d. both as inputs and final goods.
QUESTION 4Which of the following expenditures would be included in GDP for this year?
a. The purchase of a new car.
b. The purchase of a new tire by General Motors for a new car.
c. The purchase of a used car.
d. All of these would be included.
QUESTION 5Gross domestic product (GDP) includes:
a. intermediate as well as final goods.
b. foreign goods as well as domestically produced goods.
c. used goods sold in the current time period.
d. only final goods and services.
QUESTION 6Payments to households not in exchange for goods and services currently produced are:
a. transfer payments.
b. government purchases.
c. consumption expenditures.
d. investment expenditures.
QUESTION 7Which of the following expenditures would not be included in GDP?
a. Purchase of a new lawnmower.
b. Purchase of a silver cup previously sold new in 1950.
c. Purchase of a ticket to the latest movie.
d. All of these would be counted in GDP.
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