For the Purposes of Calculating GDP Using the Expenditure Approach

question 177

Multiple Choice

For the purposes of calculating GDP using the expenditure approach, which of the following payments is not included in the government expenditures component?

• A)Social Security payments
• B)The wages paid by a local government to its road crew
• C)The wages paid by a state government to the workers in its welfare department
• D)The federal government's purchase of a submarine from a shipbuilder

Distinguish between personal property and other categories under home insurance.

Understand the concept of speculative risk in the context of starting a small business.

Grasp the principle of financial responsibility laws and their purpose in automobile insurance.

Understand different strategies for managing risks, including avoidance, reduction, assumption, and shifting.

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Definitions:

Outsourcing

The business practice of hiring a party outside a company to perform services or create goods that traditionally were performed in-house.

Core Competency

A set of knowledges and skills that make the organization superior to competitors and create value for customers.

Strategic Planning

The process of defining a business's strategy or direction and making decisions on allocating resources to pursue this strategy.

Propensity Analysis

The use of statistical techniques to predict the likelihood of a specific event or behavior occurring.