Economy's output

7x puncte

categorie: Economie

nota: 10.00

nivel: Facultate

This measurement does not give a complex picture of the welfare of a nation but is an important record of a country's economic success and provides a useful perspective on the way the economy works. It shows how factor markets relate to product markets, how output relates to income and how consumer spending and business investment relate to production. It also shows how the flow of taxes and gover[...]
DOWNLOAD REFERAT

Preview referat: Economy's output

This measurement does not give a complex picture of the welfare of a nation but is an important record of a country's economic success and provides a useful perspective on the way the economy works. It shows how factor markets relate to product markets, how output relates to income and how consumer spending and business investment relate to production. It also shows how the flow of taxes and government spending may alter economic outcomes.
There are two ways to measure the performance of an economy:
- measuring the National Product;

- measuring the National Income, (figure 2.1.).
The unit of measurement is money in form of a payment flow. In the top loop of figure 2.1. we see the payments for the goods and services produced. The top loop measures national product. In the bottom loop, we see where the receipts of businesses go to: to pay wages, salaries, rents, interests and profits. The bottom loop measures the national income.
Figure 2.1. shows that consumers buy directly all the final goods produced by an economy, in exchange of payment, but we shall see later that the world is much more complicated than that.

To facilitate the accounting procedures of the GNP we need some mechanism for organizing annual output data into a more manageable summary. The mechanism we use is prices. Each good or service produced and brought to market has a price. That price serves as a measure of value for computing total output. If we consider the problem of determining how much output was produced during one year, there is no obvious way to answer this question in physical terms. But once we know the price of each good, we can compute the value of output produced in a given time period.

When computing the national product (total output of an economy), there is, however, one danger: all products go through a number of stages in the process of production and, therefore, they are sold several times. That is why it is important to compute only once what has been produced. For this purpose we distinguish between:
DOWNLOAD REFERAT
« mai multe referate din Economie

CAUTA REFERAT

TRIMITE REFERAT CERE REFERAT
Referatele si lucrarile oferite de E-referate.ro au scop educativ si orientativ pentru cercetare academica.
Confidentialitatea ta este importanta pentru noi

E-referate.ro utilizeaza fisiere de tip cookie pentru a personaliza si imbunatati experienta ta pe Website-ul nostru. Te informam ca ne-am actualizat termenii si conditiile de utilizare pentru a integra cele mai recente modificari privind protectia persoanelor fizice in ceea ce priveste prelucrarea datelor cu caracter personal. Inainte de a continua navigarea pe Website-ul nostru te rugam sa aloci timpul necesar pentru a citi si intelege continutul Politicii de Cookie. Prin continuarea navigarii pe Website-ul nostru confirmi acceptarea utilizarii fisierelor de tip cookie conform Politicii de Cookie. Nu uita totusi ca poti modifica in orice moment setarile acestor fisiere cookie urmarind instructiunile din Politica de Cookie.


Politica de Cookie
Am inteles