Table 19-2 -Refer to Table 19-2. Suppose That a Simple Economy Produces

question 95

Multiple Choice

Table 19-2

-Refer to Table 19-2. Suppose that a simple economy produces only four goods and services: shoes, DVDs, tomatoes, and ketchup. Assume one half of the tomatoes are used in making the ketchup and the other half of the tomatoes are purchased by households. Using the information in the above table, nominal GDP for this simple economy equals

• A) $7,400.
• B) $6,400.
• C) $5,800.
• D) 2,440 units.

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Definitions:

Degree of Interdependence

The extent to which individuals, groups, or systems rely on each other to function effectively.

Operations Technology

The hardware and software solutions used to optimize and automate business operations.

Mechanistic Bureaucracy

An organizational structure that emphasizes detailed procedures and rules, a clear hierarchy, and a focus on task completion, similar to a machine bureaucracy.

Organic Bureaucracy

An adaptable and flexible organizational structure that allows for responsiveness and change, contrasting with more rigid bureaucracies.