What is the governments contribution to GDP

Assignment Help Business Economics
Reference no: EM13998547

Suppose that the government collects $3 million in taxes, pays $2 million in Social Security benefits, pays $0.5 million in interest on the national debt, and pays workers $1 million to sit at their desks and work as little as possible. What is the government's contribution to GDP?

Reference no: EM13998547

Questions Cloud

Classify the type of unemployment : Consider the following scenarios and classify the type of unemployment.
What explains the rapid growth in private investment : What explains the rapid growth in private investment in e-commerce firms in the period 2011–2012? Was this investment irrational? Despite the popularity of Facebook, why was its IPO deemed a failure?
Use of discount fares by imposing and enforcing appropriate : Discuss how successful airlines control the use of discount fares by imposing and enforcing appropriate conditions on these fares, and how they utilize state-of-the art revenue management systems. Provide an example(s).
What is contribution to GDP and profits : Acme Steel Co. produces 1000 tons of steel. Steel sells for $30 per ton. Acme pays wages of $10,000. Acme buys $15,000 worth of coal, which is needed to produce the steel. Acme pays $2,000 in taxes. What is Acme's contribution to GDP? What are Acme's..
What is the governments contribution to GDP : Suppose that the government collects $3 million in taxes, pays $2 million in Social Security benefits, pays $0.5 million in interest on the national debt, and pays workers $1 million to sit at their desks and work as little as possible. What is the g..
Type of utility function quasi-linear : Consider the following utility function, which specifies Carina’s preferences over two goods, donuts (D) and brownies (B). (Please note that we call this type of utility function quasi-linear.) U(D, B) = 3D + 2Bˆ 2 (a) (10) Plot an indifference curve..
Government budget deficit is equal : Suppose that GDP is equal to 1000, national saving is equal to 200, the current account deficit is equal to 100, and the government budget deficit is equal to 50. Investment must equal...?
Uses no intermediate inputs : Jim produces and sells $1100 worth of flowers. Jim uses no intermediate inputs. He pays his workers $700 in wages, pays $100 in taxes and pays $200 in interest on a loan. What is Jim's contribution to GDP? What are Jim's profits?
Daily demand curve for coffee for elizabethtown : A coffee retailer (Joe’s) developed the following daily demand curve for coffee for Elizabethtown, KY. Q = 500 - 300(P) + 200(Pc) + 0.01(A) Where P is the price of Joe’s coffee, Pc is the price of Starbuck’s, and is income in Elizabethtown. Currently..

Reviews

Write a Review

Business Economics Questions & Answers

  What is the market price of fish in fire island

The daily demand and supply of fish in Fire Island, NY is described by the following equations: What is the market price of fish in Fire Island? How much is consumer and producer surplus?

  Elucidate how strength of the economy as a whole affected

Elucidate how the strength of the economy as a whole affected the marginal benefits and the marginal costs associated with that decision.

  Explain mustard and mayonnaise are substitutes

Mustard and mayonnaise are substitutes. Mustard and relish are complements. Mustard is a normal good. During the summer, about 50% of all mustard was recalled by manufacturers and removed from store shelves.

  Banking system behaviour

Does anyone know of any work on banking system behaviour, and in particular the governing regulatory frameworks that applied between the 1973 collapse of the gold standard based Bretton Woods system and the introduction of the Basel Accords and capit..

  Q1 suppose that i make 15 per hour and you make 20 per hour

q1. suppose that i make 15 per hour and you make 20 per hour and we both like to eat hamburgers that cost 5 each.

  Temporary decrease in the availability of raw materials

What is the effect of bad weather for farming or some other temporary decrease in the availability of raw materials?

  Describe nature of returns to scale for this production

If L is increased by 2% with K unchanged, what is the resulting percentage change in output? Describe the nature of returns to scale for this production function.

  Calculate the equilibrium buyers and sellers price

Calculate the equilibrium buyers' and sellers' price with no sales tax, and then with the 20% tax. Explain how answer illustrates the principle that less responsive side of the market will pay more than half the total cost of sales tax.

  Find the shape and dimensions of country

There are 20,000 hours of labor for country A. 5 hours of labor are required to produce 1 unit of S, while 4 hours are required to produce 1 unit of T. Find the shape and dimensions of country A's PPF.

  Should the theater increase its price

What is the elasticity of its demand with respect to advertising? Now suppose the theater increases the number of its ads to 250. Should the theater increase its price following this ad campaign? Explain.

  Illustrate what way does investment multiplier

Illustrate what way does investment multiplier defend the policy of public workson the part of the state during business depression.

  Mortgage loan-compounded monthly-compounded continuously

What will be the monthly payment on a 30-year, $250,000 mortgage loan, where the interest rate is 6% per year, compounded monthly? How much interest is paid over the life of the loan?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd