Finance is riddled with terms that can make the uninitiated scratch their heads. "Real" variables and "nominal" variables are a good example. What's the difference? A nominal variable is one that doesn't incorporate or consider the effects of inflation. A real variable factors in these effect...
Explain the largest component of GDP. Analyze how the government can influence this component to help stimulate the economy. Fully explain one method of measuring GDP (hint: use one of the components mentioned as an example). Explain the 3...
Gross domestic product(GDP) measures an economy's production over a specified period of time. More specifically, gross domestic product is the "market value of all final goods and services produced within a country in a given period of time." There are a few common ways to calculate the gro...
Let’s take real GDP at 4% for example. To use this measure for estimating future equity returns, we need to acknowledge a realistic relationship between it and dividend growth. It is a big leap to assume that 4% real GDP growth will translate into 4% growth in dividends per share. Div...
Is this an example of the investment component of GDP? Explain. Goods that are produced but not immediately sold: a. count in the GDP as private investment. b. do not count in the GDP. c. count in the GDP ...
For example, if nominalgross domestic product(GDP) growth rate is 5.5% for a given year and the related annual inflation rate is 2%, then the real GDP growth rate for the year is 3.5%. Nominal vs. Real Exchange Rates The nominalexchange rateis the number of units of the domestic currenc...
real money. This means, for example, that if your monthly consumption spending is $2,000, you should hold $12,000 worth of gold. (And/or silver, platinum, palladium and so on, but let's keep this simple.) At a gold price of $250 per ounce, $12,000 worth of gold would be: $...
Calculate producer surplus in this example. You have gathered this information on a firm: $500,000 sales, $10,000 cash dividends, $300,000 cost of goods sold, $20,000 administrative expense, $20,000 depreciation expense, $40,000 interest expense, $10,000 ...
For example, r2 values were 0.86–0.89 for blue band; 0.89–0.95 for green band; 0.84–0.96 for red band; 0.71–0.79 for SWIR-I band; and 0.71–0.83 for SWIR-II band. As a result, we performed smoothing filter-based intensity modulation method of pan-sharpening to enhance the spatial ...