Assume that a country has a closed economy that has only three goods/services. That is, there is no trade with other countries,
so the economy has consumption, investment, and government spending, but no net exports. In a given year, the economy produces thirty haircuts that cost $10 each; two factory machines that cost $100 each; one highway repair that costs $500 13. What is total GDP for this economy? 14. What percent of GDP is consumption? ________________________________________ 15. What percent of GDP is investment? ____________________________ 16. What percent of GDP is government spending? _________________________________ Exclusions of GDP and an Examp
B) All final goods and services produced in an economy in a given year
Explanation:
That's the definition of GDP, gross domestic product. By virtue of the name, it's the total product (output) of a given economy. It's measured through the values of all final goods and services, so as to not count the same good or service twice.
William will pay a total of $750 out of pocket for both cars to be fixed.
The other car is covered by the property damage portion of his insurance, so it is covered 100% by the insurance company and there is no deductible or amount that William needs to pay. William’s car will be covered by the collision portion of his insurance. He is responsible for paying the $750 deductible and the insurance company will pay the remaining $50.
