Assume a Simple Economy with No Government and No Foreign

question 148

Essay

Assume a simple economy with no government and no foreign trade.The firm produces 100 units of output,sells 80 to consumers for a price of $1,and adds the remaining 20 to its inventory at a price of $0.75.Each unit costs $0.75 to produce,which is equal to the labor cost.There are no other costs associated with production.
(A)Name three ways you could measure GDP from these data.
(B)Show how you would perform each calculation.

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Definitions:

Direct Marketing

A form of advertising where companies directly communicate with potential customers through various mediums.

Public Relations

The practice of strategic communication that enhances beneficial ties between organizations and the people they serve.

Promotion Decision Process

The sequence of steps a company follows to plan and execute marketing strategies to increase awareness or sales of a product or service.

Implementation Phase

The stage in a project or plan where strategies are executed and the plan is put into operation.