Introduction to Macroeconomics and GDP - Teachers

sizzledlickforkManagement

Oct 28, 2013 (3 years and 10 months ago)

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MACROECONOMICS



“LOOKING AT THE FOREST NOT
THE TREES”

BIG IDEAS


MEASURING OUTPUT AND INCOME


ECONOMIC GROWTH


BUSINESS CYCLES


UNEMPLOYMENT, INFLATION, &
STAGFLATION


TAXING AND SPENDING


FISCAL POLICY


MONETARY POLICY


GDP


GROSS DOMESTIC PRODUCT IS THE
DOLLAR VALUE

OF ALL
FINAL

GOODS
AND SERVICES PRODUCED WITHIN A
COUNTRY’S BORDERS

IN A
GIVEN YEAR


MEASURED IN $$$$$$$


NO INTERMEDIATE GOODS


DOMESTIC GOODS


A SPECIFIC TIME PERIOD


CALCULATING GDP


EXPENDITURE APPROACH


CONSUMER SPENDING + BUSINESS SPENDING
+ GOVERNEMNT SPENDING + NET EXPORTS
(Exports
-
Imports)


C+I+G+Xn = GDP


INCOME APPROACH


WAGES+RENT+PROFITS+INTEREST = GDP


EXPENDITURES = INCOME = GDP


NOT INCLUDED IN GDP


BLACK MARKET GOODS


“OFF THE BOOKS” ACTIVITIES


TRANSFER PAYMENTS


RESOLD ITEMS