Questions tagged [gdp]

Gross Domestic Product (GDP) is a flow measure of the value of finished goods and services produced within a country's borders in a specific time period. GDP is typically calculated on an annual basis.

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Generally speaking, shouldn't GDP roughly increase equivalent to population growth?

With all things being equal: shouldn't the GDP roughly increase equivalent to population growth (as a minimum, setting aside GDP increases resulting from technology, education, and all other factors). ...
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Origine of the GDP difference between WEO (IMF) and GEP (World Bank)

If one looks to the past world GDP growth from the "World Economic Outlook" of the International Monetary Fund and from the "Global Economic Prospect" of the World Bank one will systematically find 0....
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Best way to measure company size relative to world GDP

I'm working o a model where corporate revenue / world GDP is a dependent variable of some stuff (based on the model proposed in this paper: http://www.scielo.br/scielo.php?pid=S1807-76922009000200002&...
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Autonomous spending

"The term $\left(c_{0}+IQ+G-c_{1}T\right)$ is that part of the demand for goods that does not depend on output here ($c_{1}$ is mpc)." Can someone please explain how will you interpret government ...
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Does a drop in GDP per capita, with the population staying around the same, mean people on average are poorer?

Essentially, I'm trying to determine if there is a correlation between a drop in GDP per capita (e.g. during the 2008 financial crisis, Australia's GDP per capita dropped from USD \$49,000 to $42,000 ...
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Factor cost market price basic price

Sir Basic price = Factor cost + net production tax Market price = Basic price + net product tax Then how do we say that market price is factor cost + net indirect tax? Only product tax is a part of ...
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Do mainstream economic models use the blank-slate view of humans?

Human capital is an important part of GDP forecasting. Do the models in use today view humans as "blank slate", meaning they can be educated to the same level, or do they take into account ...
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Name for a tax that captures all goods and services produced?

Is there a name for a consumption tax that basically captures the GDP (all goods and services produced in the nation)?
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Upper bound on wealth that can be created for each country

I get very confused on the subject of wealth and I do not, I repeat, I do not have the time to read Adam Smith. And I have no formal training in economics. As a layman, I wish to ask a simple question....
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Do recessions matter?

One common definition of recession is "two consecutive quarters of negative GDP growth". GDP growth affects other variables, such as stock prices, interest rates, unemployment, and personal income. ...
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Purchasing power of currency abroad

Say you have two countries A and B. Suppose we have a situation where country A's currency can purchase much more in country B than the other way round. What causes this phenomenen? Is it possible ...
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Is the concept of limited liability in corporate law beneficial to economy

The concept of limited liability in corporate law is widespread all over the world. Limited liability means, that owners of a company can only loose their capital invested into the company - the ...
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What is low unemployment and low gdp growth symptomatic of?

Obviously there are caveats with GDP, if you build a bridge to nowhere it counts as GDP, but if you mow your own lawn or volunteer to pick up garbage it doesn't count, and so forth and so on. However, ...
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GDP Deflator and Economics Well-Being

The question is regarding GDP deflator. nominal & real GDP 2015, and GDP Deflator; 800, 400, 200 nominal & real GDP 2014, and GDP Deflator; 400, 400, 100 As far as I understand the increase ...
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Taxes and GDP, where do these come in in the formula?

We all know that the formula for GDP I'd given by GDP = C + I + G + NX I would like to know, whether I am right in deducing that when consumers and industry pay taxes, or when there are import and ...
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How can I adjust the base year of this price index?

I am given the following data for GDP deflator: 1997: 100.0 1998: 100.8 1999: 102.5 2000: 109.9 2001: 112.5 2002: 115.9 2003: 119.7 2004: 122.1 2005: 126.5 ...and so on. Currently, 1997 is ...
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Discrepancy of GDP and International Transaction Releases for Exports

The Bureau of Economic Analysis ("BEA") provides consolidated data from several different government agencies. Currently they provide exports under both a Gross Domestic Product ("GDP") release as ...
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Nominal and Real GDP [closed]

If nominal GDP is, for example, \$1,620 billion in 2017 and increases to \$1,680 billion in 2018, is the growth rate 3.7%? Or does real GDP first need to be calculated using a deflator?
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GDP per capita and trade relationship

There's a lot of literature describing the relationship between growth and trade, but I'm not sure what conclusions I can draw from GDP per capita (specifically) and trade in one particular year for ...
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GDP with Intermediate Production

I'm a total noob. Please be kind. :) GDP is only calculated using "end products". This seems terribly difficult to me. For example, is a truck an end product or a method for production? If I'm ...
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Is deprecation included in the value added approach?

I have been asked this question: "Folt Industries in 2017: It sold 1000 in sweaters, it imported 200 in wool from abroad, and purchased 200 in wool from domestic suppliers, it purchased a sewing ...
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What does it mean when R&D is “3% of GDP”?

When we talk about R&D, does it mean that the final goods of R&D amount to 3% of GDP? Or does it mean that a specific nation is spending an amount of money on R&D that is equivalent to 3% ...
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Isn't it pointless to care about GDP?

If I pick up a stone there and sell it to you for 1 million dollars, 1 million dollars added value is created and added to GDP. If you sell it to me for the same price, virtually nothing has happened ...
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Is this a valid or legitimate way of comparing countries on traits and characteristics?

Country A has 16 million inhabitants and 2.000 MW of solar panel generated power, also a GDP of $50.000 per capita Country B has 160 million inhabitants and 2 MW of solar panel generated power, ...
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Nominal GDP to Current purchasing power parity

Hi I would like to convert nominal GDP in current US dollars to current purchasing power parity in 2011 US dollars. Is this nominal GDP already converted? if GDP were in LCU I would convert it to ...
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Where's a good place to find Information on Non-OCED countries?

I'm looking for Private Savings (Sp), Investment (I), Taxes (T), Government Spending (G) for India.
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How do I rebase my GDP with different base year?

My data are the following: Current GDP 1996-2017 Real GDP (base year 1985) - 1996-2009 Current GDP - 2009-2017 Real GDP (base year 2000)- 2009-2017 My question is how would I rebase my data from ...
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GDP Growth QoQ vs YoY: Why do the figures not match?

According to statista.com, US Q4 GDP growth rate was 2.6% over the economy in Q3. However, why is the annualized growth rate for the US therefore not be a sum of all 4 quarters if their definition of ...
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how is a trade imbalance related to domestic savings?

I was confused by a statement in an article from Paul Krugman in the NY Times: The reason America runs persistent trade deficits isn’t that we’ve given away too much in trade deals, it’s that we ...
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Convert USD2005 PPP per-capita GDP to USD2011 PPP per-capita GDP for a number of countries

Which conversion factor / formula should be used to convert USD2005 PPP per-capita GDP to USD2011 PPP per-capita GDP for different countries? I have found an identical question, but without a clear, ...
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The income method of calculating GDP

Using the income method we subtract the indirect tax to work out GDP@ MARKET PRICE but if imports are also give do we subtracted those import too using the income method.
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real gdp per capita vs real gdp

this site summarizes the difference between GDP and GDP per capita as: ...
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How Do Imports Affect GDP

Lets say the U.S. imports a brand new Ferrari that costs $600,000. I know that it would take away from the U.S. GDP since it's considered an import. However, if a consumer buys that Ferrari from the U....
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When measuring the net economic impact of a citizen, what measure is used?

When measuring the net economic impact of a citizen or group of citizens, what measure is used? Is it GDP contribution (ie GDP/capita)?
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Why is a new home considered an investment instead of consumption? [duplicate]

My AP macroeconomics teacher ran through some examples today of what transactions would or would not be counted in GDP. He gave examples, among others, of a person cashing a social security check (...
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Does Visitor Export Include Airline Tickets?

Does visitor export include the purchase of airline tickets? If so, I would assume that it only counts airline businesses that are established in the country of question.
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What makes up GDP in the real estate sector?

The global GDP can be slit up between different sectors to see how sectors contributed to economical growth. I'm interested in knowing what elements are used to calculate the GDP in the real estate ...
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German economic growth in 20th century

I have question regarding this great animation: Animation: The World’s 10 Largest Economies by GDP (1960-Today) Why did Germany GDP shrink so much from 1995 to 2000, while US was still growing very ...
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Why is depreciation added to the GDP with the income approach?

In my economics textbook, it states that when calculating GDP using the income approach, depreciation should be added. Specifically, GDP = Employee Compensation + Taxes less subsidies on businesses + ...
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Do products which are only produced and consumed locally contribute to GDP value?

According to Wikipedia: Gross domestic product (GDP) is a monetary measure of the market value of all the final goods and services produced in a period of time, often annually or quarterly. Nominal ...
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Why Chinese GDP does not correspond to Chinese GDP growth rate?

Hi all. According to google we have: China GDP 2017=12.24 trillion USD China GDP 2016=11.19 trillion USD Therefore China GDP 2017 growth rate=(12.24-11.19)/11.19=0.0938 that is approximately 9.4% ...
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How do government purchases crowd out the private sector?

I am curious about how government purchases crowd out the private sector (if it does). If we look at a graph of the composition of US GDP, it seems that government purchases and investment are ...
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gdp growth outliers reflect exchange rate variations

I have nominal GDP for 20 countries and I need it in dollars. I noticed that some observations like Belgium 1986 are havily influenced by exchange rate variations so that we have real GDP growth of 45%...
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How to treat different frequencies of a time series data?

I have annual GDP, annual CPI, monthly exchange rate, and monthly export data. I would like to go for estimation being monthly stock return as the dependent variable. What are the methods to treat the ...
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How did the US gain such a large increase in GDP compared to other industrial nations within the last decade?

For example, while Germany’s GDP increased by about thirteen percent, the US’s GDP has increased by more than a third of its GDP in 2009.
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Positive effects of a Tunisia-EU free trade agreement?

Tunisia might be signing a free trade agreement with the EU very soon. It's called ALECA or DCFTA. Many activists and labor unions are opposing such an agreement because it would result in losing ...
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Does open source software contribute to GDP?

Does open source software contribute to the GDP of a nation? If yes then how, and how does it depend on the increase in usage? For instance, would an increase in the usage of open source software ...
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GDP (Is this a part of GDP Calculation)?

The GDP Calculation is for US. If a Canadian company decides to change from a US supplier to a Canadian supplier, will that change the GDP? I thought it would - as that it would reduce exports - but ...
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Will BRICS countries be the leading innovation countries 20 years from now? [closed]

I wonder about the question given in the title. What could be arguments against this statement? Considering China and Russia: Both countries have an authoritarian political system. I claim - and ...
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Evolution of GDP to debt ratio

Is it possible for an entity (say a state, e.g. USA) to keep a constant GDP/debt ratio with a monotonically increasing debt. I should probably mention that I am not an economist (physics and c.s ...