Count the computer chip in gdp

Assignment Help Accounting Basics

Reference no: EM131023439

A student remarks: "It doesn't make sense that intermediate goods are not counted in GDP. A computer chip is an intermediate good, and without it a PC won't work. So why don't we count the computer chip in GDP?" Provide an answer for the student's question.

Reference no: EM131023439

Questions Cloud

Record album in a recording studio : According to Dan Sichel, an economist at Wellesley College, the amount of time a singer spends working on a record album in a recording studio is "quite analogous to a factory investing in a new machine." Do you agree? Briefly explain.

What is opportunity cost of serving one more table for mary : Now assume both Mary and Lucy are producing on their PPFs. What is the opportunity cost of serving one more table for Mary? What is the opportunity cost of cleaning one more window for Lucy

Ford escape hybrid from a ford dealer : Which component of GDP will be affected by each of the following transactions involving Ford Motor Company? If you believe that none of the components of GDP will be affected by the transactions, briefly explain why.

Prove that the union of all intervals in f equals g : By using the fact that the set of all rational numbers is countable, and subsets of countable sets are at most countable, prove that every collection of non-empty disjoint open intervals in R is a collection of at most countably many intervals.

Count the computer chip in gdp : A student remarks: "It doesn't make sense that intermediate goods are not counted in GDP. A computer chip is an intermediate good, and without it a PC won't work. So why don't we count the computer chip in GDP?" Provide an answer for the student's..

Find eigenvalues and eigenvectors of b : Find eigenvalues and eigenvectors of A. Find eigenvalues and eigenvectors of B. Find eigenvalues and eigenvectors of A ⊗ B. Can you establish a relationship between the eigenvalues of A ⊗ B and the eigenvalues of A and B?

Choke cola is a very old company : Choke Cola is a very old company and through the years its market share has grown. In 2010 Choke Cola had 40% of the sales of cola beverages in the US. Its nearest competitor was Canine Cola which had 20% of the market. Four other cola producers have..

Measure production in terms of quantity : Why in microeconomics do we measure production in terms of quantity, but in macroeconomics we measure production in terms of market value?

User Account

All Pages