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In a simple economy, suppose that all income is either compensation of employees or profits. Suppose also that there are no indirect taxes. Calculate gross domestic product from the following set of numbers. Show that the expenditure approach and the income approach add up to the same figure.
Consumption $5,000
Investment 1,000
Depreciation 600
Profits 900
Exports 500
Compensation of employees 5,300
Government purchases 1,000
Direct taxes 800
Saving 1,100
Imports 700
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