Author Question: Why should imports be excluded from gross domestic product? How is a purchase of an import recorded ... (Read 76 times)

oliviahorn72

  • Hero Member
  • *****
  • Posts: 579
Why should imports be excluded from gross domestic product? How is a purchase of an import recorded in the components of GDP?
 
  What will be an ideal response?

Question 2

In a fully-funded social security program
 
  A) the young pay for the benefits of the old.
  B) the young are forced to save for their own retirement.
  C) the young have to buy bonds for the old.
  D) the young are forced to save for the retirement of the old.



Leostella20

  • Sr. Member
  • ****
  • Posts: 337
Answer to Question 1

Imports are purchases by domestic buyers of goods and services produced abroad and gross domestic product is a measure of domestic production of goods and services. Any purchase of an import is included as a positive in consumption, and then subtracted out of GDP by recording it also as an import.

Answer to Question 2

B



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Approximately 25% of all reported medication errors result from some kind of name confusion.

Did you know?

Cyanide works by making the human body unable to use oxygen.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

Coca-Cola originally used coca leaves and caffeine from the African kola nut. It was advertised as a therapeutic agent and "pickerupper." Eventually, its formulation was changed, and the coca leaves were removed because of the effects of regulation on cocaine-related products.

Did you know?

It is believed that humans initially contracted crabs from gorillas about 3 million years ago from either sleeping in gorilla nests or eating the apes.

For a complete list of videos, visit our video library