Graph of GDP (PPP)- per capita 2018 country

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TASK №3.
CALCULATE REAL GDP
The unemployment rate this year was 6.5%.
The natural rate of unemployment – 5%,and the coefficient of Okun – 2.
The potential GDP is $ 2,550 billion.
Determine the GDP lag (in%) and GDP losses caused by cyclical unemployment (in billion
dollars.).

DECISION
According to the oaken law, there is a relationship between the deviation of actual output
from potential GDP and the level of cyclical unemployment.
Y – real GDP,
Y* – potential GDP,
u - is the actual unemployment rate,
u* – natural rate of unemployment,
(u – u*) – cyclical unemployment rate,
β - coefficient of Okun
From the formula of the law of Okun, we
express the value of the actual GDP:

Calculate the lag of GDP (in %) and GDP losses

caused by cyclical unemployment:
TASK №4. THE CALCULATION OF REAL GDP AND DETERMINING THE CAUSE OF THE RECESSION

In 2008, the Swiss economy began to decline. Nominal GDP in 2008 was equal to 3,078
billion francs, the inflation rate was 20%, and the rate of change in GDP compared to
2007 was 5%.Determine the GDP of 2007 (base) and the cause of the decline.

DECISION:
Let's calculate the real GDP in 2008 by the formula: RGDP2008=NGDP2008/ GDP deflator2008

Since the country's economy began to decline, therefore, the rate of change (growth) of
real GDP is negative and equal to – 5%.
Let us Express the desired value of GDP from the formula of GDP growth rate:
Real Rate=((RGDP2008 - RGDP2007)/ RGDP2007))*100%
RGDP2007=( RGDP2008*100%)/( Real Rate + 100%)
TASK №4.
THE CALCULATION OF THE NET EXPORT
What is the value of net exports, if
The country's GDP amounted to $ 5,000 billion.,
consumer spending - 3500 billion dollars.,
net private investment - 250 billion USD,
public procurement of goods and services - 800 billion USD,
net factor income from abroad is (-130) billion USD,
the cost of capital consumed is $ 500 billion.?

DECISION
Gross domestic product calculated by expenditure represents the sum of expenditures
of all macroeconomic agents, which includes: consumer spending (consumption
spending C), gross private domestic investment (gross private domestic investment –
Igross), government purchases of goods and services (government spending – G) and
net exports (net export - NX):
GDPexp = С + Igross + G + NX
Gross investment is the sum of net investment and the cost of capital consumed
(depreciation):
Igross = Inet + A
Therefore, GDPexp = С + Inet + A + G + NX
NX = GDPexp - С - Inet - A - G
TASK №5.
THE CALCULATION OF GDP BY INCOME

In the economy of the countrythe salary is $ 250 billion.,

interest payments of private firms - 15 billion dollars.,
the rent is $ 12 billion.,
income of owners-60 billion dollars.,
net factor income from abroad is (-5) billion USD.,
unemployment benefits $ 8 billion,
pensions - $ 4 billion.,
proceeds from the sale of shares on the stock exchange – 10
billion dollars.,
corporate profits – $ 50 billion.,
depreciation - 30 billion dollars,
indirect taxes – 20 billion dollars.,
direct taxes - $ 35 billion.
Find the GDP of this country.
DECISION:Gross domestic product, calculated by income, represents the sum of
income from national and foreign factors. It is defined as Wages plus Rent plus
Interest payments plus property Income plus corporate Profits plus Indirect
business taxes plus depreciation (cost of fixed capital) minus Net factor income
from abroad.
TASK №6.
CALCULATE PRIVATE SAVINGS

In a closed economy,
consumer spending amount to 1,100 billion. dollars.,
investment 350 billion. dollars.,
public procurement 250 billion. dollars.,
transfers 50 billion. dollars.,
interest payments on public debt 25 billion. dollars.,
taxes 300 billion. dollars.
Determine private savings, the balance of the state budget.

DECISION:
Calculate the gross domestic product by expenditure. In a closed economy, it
represents the total expenditure of all macroeconomic agents, which includes:
consumer spending ( consumption spending – C), gross private domestic
investment (gross private domestic investment-Igross), public procurement of
goods and services (government spending – G): GDP . = С + Igross + G
exp

Private savings are equal to the sum of income Sp = (Y + TR + N – T) – С

(Y), transfers (TR), % on public debt (N) less
taxes (T) and consumption (C):
Public savings are defined as: Sg = (T – TR – N) – G

Since the state's savings are negative, it is a budget deficit (BD): BD = - Sg.

The balance of the state budget is equal to………………..

TASK №7.
THE CALCULATION OF THE GROWTH RATE OF REAL GDP

Real GDP last year amounted to $ 4 billion.

Nominal GDP in the current year is equal to 4620 million.
and the GDP deflator is 110 %.
Calculate the growth rate of real GDP in the current year

DECISION:
The growth rate of real GDP is calculated by the formula: