1. GDP CALCULATION: extra exercise
Copyright Mark Van Couwenberghe, 2017
GDP CALCULATION: extra exercise
Three companies generate the GDP of the economy of Tropica: chocolate factory (CF), lemonade factory (LF), biscuit factory (BF).
Turnover CF = euro. They import cacao euro. 2 workers. Salary cost per worker = euro.
LF sells euro. They import euro. Total salary costs = euro. All lemonade is exported.
Turnover BF = euro. They purchase chocolate from the euro and they import other euro. 5 workers. Salary cost per worker = euro. 60% of turnover is exported.
Calculate GDP using 3 approaches