Author Question: Rhonda sells a house she has owned for 15 years and starts living in a rented apartment. To make it ... (Read 51 times)

natalie2426 · **on:** Jun 30, 2018

Rhonda sells a house she has owned for 15 years and starts living in a rented apartment. To make it more marketable, she buys carpeting that she has professionally installed and buys wallpaper that her daughter hangs. Which items would be included in this year's gross domestic product (GDP)?
a. The sale price of the house
b. The cost of transporting all her furnitures to the new apartment
c. The opportunity cost of Rhonda's daughter's time
d. The opportunity cost of Rhonda's time
e. The purchase price for carpet and wallpaper, and the installation fee for the carpet

Question 2

Which of the following is the best example of an investment in human capital?
a. on-the-job training received by an apprentice electrician
b. an increase in the number of hours worked per week by a worker in an unskilled laboring job
c. the purchase of company stock by a worker
d. payments into a retirement pension plan by a skilled laborer