In the Equation GDP = C + I + G

question 17

Multiple Choice

In the equation GDP = C + I + G + F,in which F equals net export spending (i.e.,total spending on exports minus total spending on imports) ,imports are subtracted from the other types of expenditures because:

• A)imports reduce national welfare.
• B)other countries do not import goods from the U.S.
• C)it represents a flow of expenditures out of the domestic economy to the rest of the world.
• D)the value of imports is difficult to determine due to the fact that they are frequently stated in terms of foreign currency.

Understand the advantages and methods of collecting firsthand data through surveys.

Grasp the importance of documenting sources in reports to avoid plagiarism and strengthen arguments.

Identify and differentiate between primary and secondary research sources.

Recognize and apply strategies to avoid copyright infringement and understand the concept of fair use.

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Definitions:

Exponential Smoothing

A forecasting technique that applies weighted averages of past observations, giving more weight to more recent observations to smooth data.

Liquor Sales

The commercial activity of selling alcoholic beverages, which can include processes such as licensing, distribution, and retailing.

Smoothing Constant

A parameter used in exponential smoothing techniques to apply different weights to past observations in forecasting.

Exponential Smoothing

A technique used in time series analysis to smooth data points and forecast by applying exponentially decreasing weights over past observations.