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How can I find GDP for 2005 when government expenditures in creased by 5% or investment by 5%. (if GDP in 2004 is 100.)

Is there some sort formula that I can use or do I just multiple the government expenditures or investment by 5% serperately??

2007-02-26 19:04:46 · 1 answers · asked by Sniper 2 in Social Science Economics

1 answers

Y=C+I+G+(X-M)

were Y= GDP
c= consumer spending
I= investment
G= government consumption
X= exports
Y= imports

However, you need to know what was the weight of investment and of government spending on GDP to see what the final effect on GDP is.

2007-02-26 23:20:49 · answer #1 · answered by MSDC 4 · 0 0

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