ECON 102 Lecture Notes - Lecture 2: Gdp Deflator, Sisal
Document Summary
Investment: residential build house , not buy existing house. Defense ton defense unsold output goes into inventory as inventory investment we are assuming that firms purchase their unsold output. Gdp measures trial income a total expenditure total output a sum of. Va at all stages in the production of final goods ( sales. Gnp working outside of country and then send money back . Gdp i because us invests in other countries capital from investments go back to. Gdp price in a given time: base year updated periodically quantity sold. Qnt real deflator nominal more accurate than constant price. Used in textbook bcs easier to compute. Index ) measures inflation uses constant weight measures changes in consumption counts changes typical household cost of living too. Eb periods . intro of new goods makes consumers better off increasing real value of dollar but no prices from the past. For t in quality cannot he fully measured .
