Chapter 20 - Tracking the U.S. Economy

Aggregate income

________ is the sum of all the revenue earned by the economy's resource suppliers.

Intermediate products

________ and services, such as KFC's chicken, are those acquired for further processing and resale.

income method

According to the ________, the value- added at all stages adds up to the market value of the final item, and the value contributed for all final goods adds up to GDP.

Tableau Économique

He published his ________ in 1758, which depicted the cyclical movement of output and revenue through various sectors of the economy.

François Quesnay

________ was the first to measure economic activity as a flow in the second part of the 18th century.

Consumption

________ encompasses both nondurable and durable items, as well as services such as dry cleaning, haircuts, and air travel.

Mercantilism

________ resulted in trade restrictions, which had the unintended consequence of decreasing the profits from comparative advantage.

eventual user

Who buys the product determines whether the sale is to the ________.

cost of a Hershey Bar

The ________ represents the earnings of resource providers along the route.

Expenditure method

totals or aggregates production expenses

Investment

purchase of new plants, new equipment, new buildings, and new residences, plus net additions to inventories

Double-counting

mistakes of including both the value of intermediate products and the value of final products in calculating gross domestic product; counting the same product more than once

income method

According to the ________, the value- added at all stages adds up to the market value of the final item, and the value contributed for all final goods adds up to GDP.

Tableau Economique

He published his ________ in 1758, which depicted the cyclical movement of output and revenue through various sectors of the economy.