Calculate gdp using each of the three approachesb

Reference no: EM13781965

Consider an economy that consists of a coal producer, a steel producer, and some households. In a given year, the coal producer makes 15 tons of coal and sells it at $5 per ton. The coal producer pays $50 in wages to households. The steel producer uses 25 tons of coal as an input to production, all purchased at $5 per ton. Of this, 15 tons are from the domestic coal producer and 10 tons are imported. the steel producer makes 10 tons of steel and sells it at $20 per ton. Domestic households buy 8 tons and 2 tons are exported. the steel producer pays $40 in wages. All profits made by domestic producers go to domestic households.

a. Calculate GDP using each of the three approachesb. Calculate the current account surplus and GNP. If the coal producer is instead owned by foreigners, what is GNP?

Reference no: EM13781965

Questions Cloud

Why is the insanity defense so difficult to prove : Why is the insanity defense so difficult to prove? What factors must be proven for a person to be deemed legally insane

Linear programming model-type of photograph-developing fluid : Photo Chemicals produces two types of photograph-developing fluids. Both products cost Photo Chemicals $1 per gallon to produce. Based on an analysis of current inventory levels and outstanding orders for the next month, Photo Chemicals managers have..

Friedman arguments about social responsibility : The 'Coast Guard' video shows an engineering whistle-blowing in public via Youtube. According to DeGeorge and/or other authors is the engineer a) morally permitted, b) obligated to whistle-blow?

What ensuing evidence found based on this operation : What aspects of this action may shock the conscience of the court? What ensuing evidence found based on this operation may be discarded as "Fruit of the Poisonous Tree"

Calculate gdp using each of the three approachesb : Calculate GDP using each of the three approachesb. Calculate the current account surplus and GNP. If the coal producer is instead owned by foreigners, what is GNP?

Discuss the benefits derived from such an alignment : Management of a technology solution is one that must align closely with an organization’s business requirements, strategic plan and goals. With this in mind, please discuss the benefits derived from such an alignment.

About capstone exam : Capstone exam

Concept of jihad as struggle : Write a short essay explaining how the concept of Jihad as "struggle" is illustrated by three of the Five Pillars of Islam. Be sure you give specific examples.

Electronic data sharing system : At Banco do Brasil, a large financial services company in South America with more than 3,000 branch locations, its internal audit department covers a geographically broad area and serves a considerable number of clients. It decided to develop a(n) __..

User Account

All Pages