Question Details

Which of the following is a component of the incomes approach to GDP



1) Proprietorsʹ income is a component of which approach to measuring GDP?
A) incomes approach
B) expenditure approach
C) cost approach
D) output approach
2) The income approach to measuring GDP
A) determines the cost of production, then adjusts it to equal the market value of production.
B) sums all incomes earned in the United States and makes no other adjustments because
other adjustments are not necessary.
C) measures the cost of producing GDP rather than the market value.
D) sums the value at each stage of production plus the value of depreciation.
2) The five categories of income used in the income approach to the measurement of GDP are
A) consumption, saving, rental income, corporate profits, and investment.
B) employee compensation, net interest, rental income, corporate profits, and proprietorʹs
income.
C) employee compensation, consumption, rental income, corporate profits, and proprietorʹs
income.
D) employee compensation, saving, rental income, corporate profits, and investment.
4) Which of the following expressions equals GDP?
A) compensation of employees + consumption + depreciation + net investment
B) compensation of employees + net interest + rental income + depreciation + corporate
profits + proprietorsʹ income + indirect taxes - subsidies
C) compensation of employees + net exports + depreciation + corporate profits
D) compensation of employees + gross investment + rental income + depreciation + corporate
profits + indirect taxes - subsidies
5) Which of the following is a component of the incomes approach to GDP?
A) consumption expenditure
B) wages and salaries
C) investment
D) government expenditure on goods and services




Economics Assignment Help, Economics Homework help, Economics Study Help, Economics Course Help