Reading 20: Measuring Economic Activity-LOS b 习题精选 between, center, market, factor, 2010

土豆妮

Session 4: Economics: Economics for Valuation
Reading 20: Measuring Economic Activity

LOS b: Differentiate between GDP at market prices and GDP at factor cost and explain the adjustments made.

 

 

 

The modification of Gross Domestic Product (GDP) to reflect indirect taxes and subsidies is called the:

A) GDP deflator.

B) gross national income (GNI).

C) factor cost adjustment.

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The factor cost adjustment is utilized to allow consistent comparisons of the components of the GDP measure (expenditure, income, and output) as well as to isolate the effect of certain governmental policies upon productivity.

土豆妮

Which of the following statements regarding Gross Domestic Product (GDP) being reported at market prices and at factor cost is most accurate?

A) Most countries report GDP at both market prices and factor cost.

B) Great Britain reports GDP at market prices only, while the United States reports GDP at both market prices and factor cost.

C) The United States reports GDP at market prices only, while Great Britain reports GDP at both market prices and factor cost.

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U.S. GDP is reported at market prices, while Great Britain reports GDP both ways. Always clarify which method a country is utilizing.

土豆妮

For which of the following is gross domestic product (GDP) adjusted to calculate GDP at factor cost?

A) A value-added tax.

B) Self-employment income.

C) Rental income.

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Factor cost adjustments to GDP include indirect taxes (such as a value-added tax) and subsidies.

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