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Author Question: Transfer payments are included in which category under the expenditure approach to GDP accounting? ... (Read 84 times)

rlane42

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on: Jun 30, 2018
Transfer payments are included in which category under the expenditure approach to GDP accounting?
 a. consumption
 b. government purchases
 c. net exports
 d. Transfer payments are not directly included in GDP calculations.

Question 2

The consumption function becomes flatter if:
 a. the average propensity to spend increases.
  b. the marginal propensity to spend increases.
  c. the marginal propensity to save increases.
  d. the autonomous consumption increases.
  e. the autonomous consumption decreases.


meganlapinski

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Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

c


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