Author Question: Suppose that Apple computer buys computer components for 10,000 and uses them to make ipods that ... (Read 160 times)

haleyc112 · **on:** Jun 30, 2018

Suppose that Apple computer buys computer components for 10,000 and uses them to make ipods that they sell to Best Buy for 30,000 . Best Buy sells these ipods for 32,000 . As a result, GDP has risen by:

a. 22,000
b. 2,000
c. 20,000
d. 32,000

Question 2

Suppose an economy is in a steady state, then its saving rate falls, once and permanently. As the economy approaches its new long-run steady state, consumption per worker is ________.

A) falling
B) rising
C) unaffected
D) either rising or falling