Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Expenditure method is also called Flow-of-Expenditure method, consumption and investment method, income Disposal method, etc.
Expenditure method measures the final expenditure on goods domestic product market prices during a year.This method measure the expenditure on GDPMP during a year.The various steps involved in the use of expenditure method are briefly summarized as follows: 1. First Step: It involves identification of economic units incurring final expenditure. Different economic units are:(i) Household sector(ii) Producer sector(iii) Government sector(iv) Rest-of-the world sector. 2. Second Step: It involves classification of final expenditure into the following categories:(i) Final Consumption Expenditure: (a) Private final consumption expenditure, and (b) Final consumption expenditure of the government(ii) Final Investment Expenditure: (a) Gross domestic fixed capital formation, (b) Changes in stocks, and (c) Net acquisition of valuables.(iii) Net exports:Exports minus imports 3. Third Step: It involves the measurements of final expenditure. The various components of final expenditure are measured as follows:To measure Private Final Consumption Expenditure, the volume of final sale of durable goods, semi-durable goods, non-durable goods and services to the consumer households and non-profit institutions serving households is multiplied by market prices (retail prices). The direct purchases of resident households made abroad are added. The direct purchases of resident non-resident households in the domestic market are deducted, i.e.,Thus, according to the expenditure method GDPMP = Private Final Consumption Expenditure + Expenditure + Government Final Consumption Expenditure + Gross Domestic Investment + Net Exports.
what is the basis of fixation
conditions for steady state in solow model.in what respects is golden rule different from steady state?
The following network N has source S and sink T with arc capacities as shown. (a) Use the maximum flow algorithm to find a maximum flow from S to T and draw a diagram
according to this example,how much value do each book contribute to the GDP? a) a forester chop down 100 trees and sell them @$100 to the paper and pulp factotry
Sears rates its salespersons according to their sales ability and their potential for advancement. They sampled 500 salespeople with following data: Potential for Advancement Fair
Automobiles arrive at the Elkhart exit of the Indiana Toll Road at the rate of two per minute. The distribution of arrivals approximates a Poisson distribution. A) What is the prob
determination of interest rate in classical model
Use a diagram of the open economy model (e.g. fig 32.4 from the text) to illustrate and explain the effect of the following event on the market for loanable funds, the level of net
Let the real interest rate, i r , equal 5 percent and the rate of depreciation, d, equal 10 percent. In this case, if the price of a piece of capital is P K = $10,000, what is th
1. Suppose the banking system has reserve of $750000, demand deposits of $2500000 and a reserve requirement of 20%. a. if the fed now purchases $125,000 worth of govt bonds from t
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!
whatsapp: +91-977-207-8620
Phone: +91-977-207-8620
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd