GDP and Olympic Success

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Issue:

Social Issues

 

Written by:

Richard V

 

Date added:

November 9, 2016

 

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Grade:

A

 

No of pages / words:

4 / 1081

 

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9473 times

 

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It includes salaries of public servants, purchase of weapons for the military, and any investment expenditure by a government. It does not include any transfer payments, such as social security or unemployment benefits. The relative size of government expenditure compared to GDP as a whole is critical in the theory of crowding out, and the Keynesian cross...
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Examples of investment by a business include construction of a new mine, purchase of software, or purchase of machinery and equipment for a factory. Investment in GDP is meant specifically as non-financial product purchases. Buying financial products would be classified as saving in macroeconomics, instead of investment...
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