1. Explain why it is the case that the value of intermediate goods produced and sold during the year is not included directly as part of GDP, but the value of intermediate goods produced and not sold is included directly as part of GDP
2. Consumption expenditure has alwyas been and continues to be the largest expenditure of GDP. If true explain. If false , explain.
3. What is the difference(s), if any, between the unemployment rate and the natural rate of unemployment? Discuss.
4. The expenditure approach (the sum of all spendings) to measuring the value of the nation’s output (GDP) is equivalent to the income approach (the sum of all payments to factors). Discuss and illustrate with examples(s) where necessary.
5. Real GDP is the same as nominal GDP? If yes, why? If no, why? Discuss
6. Does GDP provide an accurate measure of the well-being of the population in a country? Yes or No. Discuss and offer examples where necessary.
