1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Marizza181 [45]
1 year ago
15

Why do economists calculate gdp by both the expenditure approach and the income approach?.

Business
1 answer:
Zanzabum1 year ago
5 0

Economists calculate GDP by both the expenditure approach and the income approach Since the combined estimates from the two approaches produce a more accurate measure of GDP, economists typically employ both methods to calculate GDP.

What is the full form of GDP?

Full form of the word GDP is Gross Domestic Product. GDP is the total financial or market value of all finished products and services produced within a country's borders during a specific period of time. It acts as a precise gauge of total domestic output and a comprehensive report card on the state of a nation's economy.

  • For instance, the building sector has expenditures that are incurred before there is revenue generated. Therefore, the spending strategy is more suited for this kind of industry.

In contrast, the revenue strategy is more suited for the service industry than the spending method.

To learn more about Approaches to calculate GDP, click the links

brainly.com/question/4191904

#SPJ4

You might be interested in
Assume the initial present value of the payments on a lease are equal to the cost of the leased asset. This capital lease is rec
Whitepunk [10]

Answer: D) present value of the remaining lease payments.

Explanation:

When recording a capital lease in the balance sheet of the lessee, the amount recorded is the<em> lower amount </em>between the present value of the remaining lease payments or the cost of the leased asset.

As the <em>cost</em> of the leased asset is <em>equal</em> to the <em>initial</em> present value of the payments, the cost will therefore be higher than the current present value of the remaining payments so the appropriate amount to put in the balance sheet will be the current present value of the remaining lease payments.

4 0
3 years ago
EuroRail and Swiss Rail are hypothetical railways that have a duopoly on the route that connects the cities of Zurich and Munich
Wittaler [7]

Answer:

Select the answer that best describes the strategies in this game.

  • Both companies dominant strategy is to add the train.

Does a Nash equilibrium exist in this game?

  • A Nash equilibrium exists where both companies add a train. (Since I'm not sure how your matrix is set up I do not know the specific location).

Explanation:

we can prepare a matrix to determine the best strategy:

                                                  Swiss Rails

                                     add train             do not add train

                                    $1,500 /             $2,000 /

           add train                     $4,000                $7,500

EuroRail

      do not add train    $4,000 /             $3,000 /

                                               $2,000                $3,000

Swiss Rails' dominant strategy is to add the train = $1,500 + $4,000 = $5,500. The additional revenue generated by not adding = $5,000.

EuroRail's dominant strategy is to add the train = $4,000 + $7,500 = $11,500. The additional revenue generated by not adding = $5,000.

A Nash equilibrium exists because both companies' dominant strategy is to add a train.

7 0
3 years ago
It’s important to consider whether you should address an acquaintance formally or informally.
VARVARA [1.3K]

Answer:

True

Explanation:

Im sorry please forgive me I messed up big time

4 0
3 years ago
Hi-Tek is a young start-up company. No dividends will be paid on the stock over the next 9 years, because the firm needs to plow
Elza [17]

Answer:

The price of the stock today is $16.83

Explanation:

The current price per share can be estimated using constant growth model of  the DDM. The price per share can be calculated using the following formula,

P0 = D1 / r - g

To calculate the price today, we use the dividend expected for the next period. Thus, using the dividend that will be paid at t=11 or D11, we can calculate the price of the stock at t=10. We further need to discount this price using the required rate of return for 10 years to calculate the price of the stock today.

P10 = 6 * (1+0.04)  /  (0.14 - 0.04)

P10 = $62.4

The price of the stock today will be,

P0 = 62.4 / (1.14)^10

P0 = $16.83

8 0
3 years ago
Read 2 more answers
Which of the following statements about price wars is true?Multiple Choice a. Firms that have to deal with the possibility of pr
Nimfa-mama [501]

Answer:

d. Firms that have to deal with the possibility of price wars often have sticky prices.

Explanation:

Prices are one of the key factors for the demand and supply in any economy.

If the prices are favorable to producers, it is benefit to them, and then they supply a high quantity, whereas the demand decreases.

When a firm tends to believe to have some price wars, basically not the price the supplier wants, or the industry is against the price determined by the supplier then, the firm chooses to use stick price. That the price do not fluctuate, and gets fixed with as the firm is not ready to supply below a certain level of price.

6 0
3 years ago
Other questions:
  • Acquisition costs; journal entries
    7·1 answer
  • Bob is a manager at dow corning who has lost five of his employees during the last year. now he has to make a decision about how
    11·1 answer
  • On January 2, 2015, Quick Delivery Company traded in an old delivery truck for a newer model. The exchange lacked commercial sub
    12·1 answer
  • Worldwide auction leader eBay started operations in Japan just five months after Yahoo! launched its Japanese auction service. B
    6·1 answer
  • The Cutting Department of Sheridan Company has the following production and cost data for July.
    15·1 answer
  • An investor purchases one municipal and one corporate bond that pay rates of return of 8% and 10%, respectively. If the investor
    14·1 answer
  • Problem 12-04A The income statement of Kingbird, Inc. is presented here. Kingbird, Inc. Income Statement For the Year Ended Nove
    8·1 answer
  • I met a girl and she said '' omg, are you a cookie?''<br> then she show this image to me..
    5·1 answer
  • Menlove Corporation has provided the following cost data for last year when 100,000 units were produced and sold:
    12·1 answer
  • c) What do you expect will be the impact of the increased fines in the (i) earnings and (ii)management compensation contracts, o
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!