Download Module The Circular Flow and Gross Domestic Product

Survey
yes no Was this document useful for you?
   Thank you for your participation!

* Your assessment is very important for improving the work of artificial intelligence, which forms the content of this project

Document related concepts

Sharing economy wikipedia, lookup

Balance of trade wikipedia, lookup

Production for use wikipedia, lookup

Economic calculation problem wikipedia, lookup

Đổi Mới wikipedia, lookup

Transformation in economics wikipedia, lookup

Non-monetary economy wikipedia, lookup

Consumerism wikipedia, lookup

Transcript
Module 10
The Circular
Flow and Gross
Domestic Product
KRUGMAN'S
MACROECONOMICS for AP*
Margaret Ray and David Anderson
What you will learn
in this Module:
• How economists use aggregate measures
to track the performance of the economy
• The circular flow diagram of the economy
• What gross domestic product, or GDP, is
and the three ways of calculating it
The National Accounts
• National Income and
Product Accounts
• Reliability
The Simple Circular-Flow
Diagram
The Expanded Circular-Flow
Diagram
Gross Domestic Product
• Final goods and services
• Intermediate goods and services
• GDP
• Value of all goods and services produced
(value added approach)
• Aggregate Spending (C + I + G + XN)
• Total Factor Income
The Components of GDP
What's Included
Not Included
Intermediate goods and services
Inputs
Domestically produced final goods and
services, including capital goods, new
construction of structures, and changes to
inventories
Used goods
Stocks & Bonds
Foreign produced goods & services