Gross Domestic Product (GDP) is the total value of goods and services produced in a country over a period of time. Most economists consider it to be the broadest indicator of a country's economic health. In the United States too, the GDP has been adopted as a key measure of economic activity since the early 1990s and the U.S. Bureau of Economic Analysis (BEA) regularly releases detailed GDP figures that are keenly tracked by the markets to gauge the current and future state of the economy. This paper discusses Gross Domestic Product with particular reference to the U.S. economy, describes how it serves as an indicator of the country's economic health and explains the components that make up the GDP.
GDP and GNP

Until the early 1990s, the Gross National Product (GNP) rather than the Gross Domestic Product (GDP) was used by the U.S. To measure economic activity. The main difference between…...

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References

Economic Indicator: Gross Domestic Product" (1997). Brain Bank Website. Cool Fire Technology 1997. Retrieved on May 29, 2003 at  http://www.cftech.com/BrainBank/FINANCE/GDP.html 

Watts, Michael. (2001) "United States Economy." Article in Encyclopedia Encarta, 2002.

The switch was made by the BEA in December 1991 to make U.S. accounts more consistent with most other countries that use the United Nations System of National Accounts

The United Nations Development Program (UNDP) has recently introduced a Human Development Index that takes into account adult literacy, and life expectancy besides GDP to measure standard of living

Gross Domestic Product:
This is a monetary value placed on all the finished goods and services produced within a national boundary. This number is calculated every year and is used to measure the economic health of a country.

eal GDP:

The real GDP takes into consideration inflation.

Nominal GDP

Nominal GDP figures are not adjusted for inflation and are used for comparative purposes.

Unemployment ate

The unemployment rate examines the rate at which employable people are actively earning money at a job.

Inflation ate

The inflation rate is the rate at which money loses its value due to overproduction.

Interest ate

The interest rate is the rate at which money can grow which is paid by borrowers. Time an principle investment are used to contextualize this rate.

Part

The purpose of this essay is to explain how three different activities may affect the economy. This essay will examine: 1. The purchasing of groceries 2. A massive layoff of employees and 3. A decrease…...

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References

Investopedia. " Gross National Product." Viewed 14 July 2013.

Investopedia. " Real GDP." Viewed 14 July 2013.

Investopedia. " Inflation." Viewed 14 July 2013.

Gross Domestic Product refers to the total worth of final goods and services produced within the nation in a given year. GDP accounts for the income generated as per the location it is earned instead of the owner of the factor of production. (Gross Domestic Product) GDP thus is an aggregate quantification of the total worth of the net output of all the domestic producing units of a nation or territory during particular period. It is pertinent to note that the GDP is associated with the net output not 'gross output'. This cannot be derived by simply adding all the gross output of each of the producing units to attain a meaningful figure on total production of the economy since there would be a plethora of double counting. GDP is determined on the basis of the 'value added' at each stage. (Introduction to Gross Domestic Product (GDP) Gross National Product…...

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REFERENCES

"Chapter 7 Measuring Domestic Output, National Income, and the Price Level" Retrieved

from   / Accessed on 10 June, 2005http://www.coursenotes.org/economics/outlines/chapter_7_measuring_domestic_output,_national_income,_and_the_price_level 

"Fiscal Policy" Retrieved from   Accessed on 10 June, 2005http://www.answers.com/topic/fiscal-policy 

"Gross Domestic Product" Retrieved from Accessed on 10 June, 2005http://encyclopedia.laborlawtalk.com/Measures_of_national_income_and_output

Policymakers should take careful note of their nation's Gross Domestic Products. As an example, if the nation is doing poorly they can help ensure that policies be put in place that will encourage growth and investment into training talented athletes. Even if the nation is doing well, it would still be a sound idea for policymakers to see that investments are poured into their star athletes to ensure an increase in GDP when their country is represented in the next Olympics. Policymakers would be well advised not to quench their nation's ability to produce better goods and services, including top notch athletes.

The data in the case study in question supports the use of the GDP as a measure of economic wealth. If a nation is already economically rich then finances and resources are available to invest heavily into training gifted athletes for the Olympics, which in turn should result in…...

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Works Cited

Gross Domestic Product." Microsoft Encarta Encyclopedia Standard 2004 CD-ROM 1993-2003 Microsoft Corporation.

Who Wins at the Olympics?" Case Study.

S.
Demand for fuel in the United States does not necessarily create a benefit to the U.S. economy. hat it does is allow Canada to sell more fuel to the United States. Moreover, American firms trade more with Canada as they begin to ramp up their economy. These trends mirror the trends with the Mexican economy as well, that country being another key supplier of both energy and general trade to the U.S.

In 2008, we can see higher fuel costs impact both economies. Canada's GDP increased 8.1% as a result of higher prices paid for its energy. By contrast, higher fuel prices forced U.S. businesses to slow down their pace of growth, and the nation recorded relatively soft GDP growth as a result. The slowing demand in the U.S. reduced Canada's energy output, but the higher prices compensated for that (Scotton, 2008).

Overall, the United States has seen strong growth in GDP…...

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Works Cited

GDP data from Index Mundi. Retrieved February 20, 2009 at  http://www.indexmundi.com/g/g.aspx?v=65&c=us&l=en 

Website: CIA World Factbook. Retrieved February 20, 2009 from  https://www.cia.gov/library/publications/the-world-factbook/geos/us.html 

Scotton, Geoffrey. (2008). Energy Output Sinks GDP. Calgary Herald. Retrieved February 20, 2009 at http://www2.canada.com/calgaryherald/news/calgarybusiness/story.html?id=94c38c7a-8499-43bd-870e-65f176f8fc34

Gross Domestic Product (GDP)
GDP or the Gross Domestic Product of a country is one of the basic tools used to measure how well an economy is performing. It is the measure of the value or worth of the goods and services that have been produced in an economy over a set time period. It may also be classified as the size of any country's economy and can provide as a helpful tool when measuring or conducting a comparative analysis about whether the country's economy has done better or worse than the previous years. Usually the GDP is calculated on an annual basis and then cross compared with the previous years to assess how well the year has been and whether the economy has grown in any way. There are two basic methods that economists use to determine the GDP, which are the income method which is determined by summing…...

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Bibliography

Baranzini, M. (1996). Inflation and Unemployment: Contributions to a New Macroeconomic Approach. Routledge Publishers.

The major revenue sources for government income are: the profits tax, the salaries tax and the property tax, which correspond to the three major classifications of taxes. The major expenditure sources are: transfer payments to persons, defense consumption and social security (BLS, 2007). For state governments, the revenue is generated by land and municipal taxes and the expenditure is generated by retirement and disability, other direct payments and grants. The 2 major tax philosophies are: the single and the progressive one. Sales taxes are designed to be proportional, but in fact they are also called regressive because people with low income usually spend a higher % of their income on taxable sales, than people with higher incomes.
If the government doubled or tripled the taxes, the first impact would be to slow down the economic expansion, because companies would have less money to invest and investment is important to grow.…...

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Reference List

Barro, R.J. 1991. Government Spending in a Simple Model of Endogenous Growth. NBER Working Paper No. W2588.

Buchanan, J. & Wagner, R. 1977. Democracy in Deficit: The Political Legacy of Lord Keynes. New York: Academic Press.

Bureau of Labor Statistics - BLS. 2007.

A www.bls.gov

GDP and Economic Indicators
"Gross Domestic Product and other economic indicators"

GDP and other economic indicators

Q.1) Define:

Gross Domestic product:

Gross domestic product is the value of all the good and services of a particular country which is produced over a year's time. For the value to be accurate it is made sure that all the goods and services included are the ones produced inside the boundaries of the country. The goods and services may be produced by the nationals of that country and by the foreigners in that country, but the production has to be inside the boundaries of the country. The formula to calculate GDP includes five components which are the consumption by households (denoted by C), the government spending done (denoted by G), the investment done in the country (denoted by I), the imports that were done in that year (denoted by M) and the exports of that particular year (denoted…...

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References

Feldmann, H. (2009). Government size and unemployment: evidence from developing countries. Journal of developing areas. Vol. 43, No. 1. pp. 315-330.

Ferrara, P. (2012). Obamanomics: the finest nail in the discredited Keynesian coffin. Forbes.  http://www.forbes.com/sites/peterferrara/2012/07/12/obamanomics-the-final-nail-in-the-discredited-keynesian-coffin/3/

Economics
GDP

he Gross Domestic Product (GDP) is a measure of the economic activity in an economy. It is usually used to measure activity in a country, but may also be used for larger or smaller regions. In basic terms the GDP is the market value of all the goods and services that produced with the country or area where the measure is being applied. here are three different ways that GDP may be calculated, theoretically, each approach should give the same result. he three ways of calculating GDP are the product or output method, the income method or the expenditure method.

he product or output method is the most common method, may also be referred to as the value added method. GDP is calculated as the total market value of all of the products and services that are created with in the economy. he calculation is undertaken by estimating the total value…...

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The calculation will result in the figure, which is a nominal GDP. That means that each year the figure will be given for the value that year. However, the value of money changes over the years, usually with inflation eroding the value of money. Therefore, it is possible there may be an apparent increase in GDP, which is the result of inflation rather than grow. Therefore, as well as calculating the nominal GDP, the real GDP may also be calculated. This is a calculation where an adjustment is made to account for inflation. Usually the adjustment is given in a currency chain to a particular year, to allow for easy comparison. Alternatively, the growth rate of the real GDP may be quoted.

Unemployment

The GDP is one of several measures to assess the economy, other measures which may be used the unemployment rate, the inflation rate and interest rate. The unemployment rate is usually perceived as being the number of people, of working age, who are not working. However, the measure is slightly more complex than this, as not everyone who is out of work wants to look for work. Therefore, unemployment may be seen as a number of people, of working age, who are out of work, but looking for work (Bertola and Garibaldi, 2003). The figures used to calculate unemployment may reflect different types of unemployment. There are four main types of unemployment, frictional unemployment, structural unemployment, cyclical unemployment and seasonal unemployment. Frictional unemployment is made up of individuals temporarily unemployed such as those between jobs, and is required in any economy. Structural unemployment is the unemployment figures it is usually quoted by governments and other agencies, as this reflects longer term unemployment, where structural unemployment is high there may even be a shortage of jobs, or a mismatch between the skills of the jobseekers and the jobs which are available (Pissarides, 2000). Cyclical unemployment is also significant; it is the type of unemployment which occurred as a result of

GDP does not measure growth sustainability. My country may be achieving high GDP temporarily in a sense that there is misallocation of investments or over exploitation of natural resources. However, considering that it is a basis of standard of living, market prices of commodities as well as other leisurely items may get up high but in reality it should not be the case. I may be forced to buy cheaper commodity with low quality.
Another discouraging factor of using GDP as measurement is that it counts work that produces no net change or results from repairing damage or harm. In situations like natural disaster such as flood, hurricane or earthquake resulting to damaging effects in building constructions, roads and bridges, and even scarcity of resources such as shelter, clothing and food, may produce considerable amount of economic activity and contributes in the increase of GDP but it would have been…...

Ethics, Gross National Products
Ethics

Gross National Product

Tariff barriers

Ethics

Ethics is a branch of Philosophy and deals with the basics questions about right and wrong, virtue and vice, as well as good or bad nature of things human beings do in their daily lives. Thus, ethics is essentially related to the moral aspect of things. A thing, act, or idea of practice might be legally correct but may not be morally sound in given conditions. For instance, the pursuit of profit by firms is legally correct but ignorance to the well being of society in which that firm operates is morally incorrect. Essentials of ethics: The essential elements of ethics are related to the character of actions being taken by the human beings. The topic essentially deals with the behavior and its outcomes with respect to the impact created on fellow human beings and society as a collective social unit. Following are some…...

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Stimpert, J.L., & Duhaime, I.M. (1997). SEEING THE BIG PICTURE: THE INFLUENCE OF INDUSTRY, DIVERSIFICATION, AND Business STRATEGY ON PERFORMANCE. Academy of Management Journal, 40(3), 560-583.

Taylor, A., Chaloupka, F.J., Guindon, E., & Corbett, M. (2000). The impact of trade liberalization on tobacco consumption. Tobacco control in developing countries, 343-64.

Yue, C., Beghin, J., & Jensen, H.H. (2006). Tariff equivalent of technical barriers to trade with imperfect substitution and trade costs. American Journal of Agricultural Economics, 88(4), 947-960.

S. domestic carriers are at period in the industry's history when these factors are already beleaguered by downturns in the global economy, increasing competition from international carriers, and the aforementioned high costs of energy.
Chapter 2: The Impact of Open Skies Agreements on Domestic and International Carriers

Under an open skies agreement, both signatories to the agreement enjoy open access to international airline routes between the two countries as well as eliminating virtually all domestic restrictions on international carriers (Lick, 1998). In an effort to develop more closely integrated pricing and route schedules, signatories to these agreements typically also seek to gain immunity from national antitrust laws (Commercial aviation: Legacy airlines must further reduce costs to restore profitability, 2004). The U.S. Department of Transportation reviews these types of airline alliances from an antitrust perspective and refuses to approval an alliance without a reciprocal open skies agreement with the foreign airline's home nation…...

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References

Baker, C. (2004, March 1). Air France-KLM approved; competition regulators in Brussels have approved Air France's takeover of KLM, deciding the consumer comes out of the deal as a net winner. Washington also says it will not oppose the deal. Airline Business, 9.

Bilotkach, V. (2002). Asymmetric regulation and airport dominance in international aviation:

Evidence from the London-New York market. Southern Economic Journal, 74(2), 505-

Doganis, R. (2002). Flying off course: The economics of international airlines. London:

experienced a significant increase in the cost of health care. In 2004, 16% of the Gross Domestic Product (GDP) was spent on health care. In 2010, President Obama signed the "Affordable Health Care for America Act (HR 3962)" that has been a topic of heated debate since discussions began decades ago. Health care funding and design has been a major issue for U..
Provide a discussion that demonstrates you have an understanding of the impact the cost of health care has on the economy. Be sure to discuss the Gross Domestic Product (GDP).

According to Forbes (2012), America does not have a debt problem; it has a healthcare one. The price of health care is eating up the economy.

Health care spending is growing to almost 1.5 times the rate of growth of its gross domestic product (i.e. The market value of all its goods and services within a certain time) and…...

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Sources

Forbes. (2012)The U.S. Does Not Have A Debt Problem ... It Has A Health Care Cost Problem  http://www.forbes.com/sites/toddhixon/2012/02/09/the-u-s-does-not-have-a-debt-problem-it-has-a-health-care-cost-problem/ 

Focus on Health Reform

 http://www.kff.org/healthreform/upload/housebill_final.pdf 

Joan & Bartlett, (2012) A Distinctive System of Health Care Delivery www.jblearning.com/samples/076374512X/Shi4e_CH01.pdf

Macroeconomics
Abbott Labs and Macroeconomics

It is a fact that the recent economic downturn affected every individual and company in some way, but companies that had solid business plans prior to the start of the crisis were better able to weather the financial storm. For example, a company that had a diverse range of business that included both products that depended the level of a consumer's disposable income and another group of products that are indispensable would probably be able to meet its financial goals despite global economic issues. Such a company is Abbott Laboratories. Because the primary business of Abbott is producing medical devices, pharmaceuticals and tests that are widely considered standards in the medical community (Abbott Laboratories, 2012), the company has been able to maintain its profitability throughout the economic crisis. However, macroeconomic indicators do have an effect on the continued economic viability of the company and they can provide…...

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References

Abbott Laboratories. (2012). 2011 annual report. Retrieved from   phphttp://www.abbott.com/static/content/microsite/annual_report/2011/yearinreview .

Angell, M. (2012). Excess in the pharmaceutical industry. Canadian Medical Association Journal, 171(12).

Barnes, R. (2012). Economic indicators: Overview. Retrieved from  http://www.investopedia.com/university/releases/#axzz23ADx6TVd 

Roerhig, C., Turner, A., Hughes-Cromwick, P. & Miller, G. (2012). When the health cost curve bent: Pre-recession moderation in healthcare spending. New England Journal of Medicine. Retrieved from  http://www.nejm.org/doi/full/10.1056/NEJMp1205958

The National Housing Act indirectly promoted the idea of lenders offering much longer-term mortgages with the currently accepted concept of monthly payments with the dual interest and principal payment scale. Amortized real estate mortgages opened the door for an average person to purchase and own a single family home.
As a result of the National Housing Act, the United States government inadvertently committed itself along with private lenders to insure long-term mortgages that could be held for as long as twenty or more years at an interest rate that was affordable. Although the process at first was bogged down by paperwork and bureaucracy it eventually caught on.

Part of the reason the process took hold was because in addition to guaranteeing the loans, the National Housing Act through the formation of the Federal Housing Administration also investigated properties and neighborhoods which added an extra measure of security and guaranteed real-estate properties…...

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Works Cited continued

Housing: The Key to Economic Recovery. Ed. NAHB. Natioanal Association of Home Builders. 5 Nov. 2004  http://www.nahb.org/fileUpload_details.aspx?contentTypeID=7&contentID=46 .

Longman, Phillip. "The Mortgaged Generation: Why the Young Can't Afford a House." Washington Monthly, Vol. 18 April 1986.

Meyerson, Martin, Barbara Terrett, and William L.C. Wheaton. Housing, People and Cities. New York: McGraw-Hill, 1962.

Peterson, James R. "Housing Plays Politics to Keep Growth Strong." ABA Banking Journal Vol. 92 (2000).

As health care’s share of gross domestic product (GDP) grows, people are struggling with how to estimate the value of the health care industry in the economy.  While it might seem like a straightforward answer, simply looking at the total amount paid for healthcare in proportion to the total GDP, that valuation would be a gross oversimplification. Generally, GDP is viewed as a proxy for standard of living, but in the United States standard of living might actually drop for many people as the percentage of GDP attributable to healthcare grows.  It is important to keep in....

According to the World Bank data (2020), Brazil has a Gross Domestic Product (GDP) of $1.4 trillion, making it the 9th largest economy in the world.
Brazil's wealth is mainly derived from its diverse economy, which includes agriculture, mining, manufacturing, and services. The country is a major exporter of commodities such as soybeans, iron ore, and oil, which contribute significantly to its GDP. Additionally, Brazil has a large domestic market with a population of over 200 million people, providing ample opportunities for businesses to thrive.

However, it is important to note that despite its economic size, Brazil still faces challenges related to....

Brazil's Economic Wealth

Brazil, the largest country in South America, boasts a diverse economy with significant wealth and natural resources. However, despite its economic prominence, Brazil faces substantial challenges related to inequality, poverty, and socioeconomic disparities.

GDP and Economic Indicators

Brazil's gross domestic product (GDP) is the ninth largest in the world, reaching over USD 1.6 trillion in 2022. This represents a significant contribution to the global economy. Brazil's GDP per capita is around USD 7,600, placing it in the upper-middle-income category.

The country's economic growth has been driven by several factors, including its abundance of natural resources, such as oil, minerals, and agricultural....

Consumer Confidence and Economic Growth

Consumer confidence serves as a vital indicator of the overall economic health of a nation. It measures the level of optimism and trust consumers have in the economy, directly influencing their spending patterns and investment decisions. Changes in consumer confidence can have a profound impact on economic growth.

Positive Changes in Consumer Confidence

When consumer confidence is high, individuals are more likely to spend money on discretionary items, such as travel, entertainment, and durable goods. This increased spending stimulates economic activity, leading to higher production, job creation, and overall economic growth.

Increased Consumer Spending: Consumers with strong confidence....