Answer to Question #253236 in Macroeconomics for fairy

Question

 

Explore 05 yearly data of the following indicators with respect to Pakistan in graphical as well as tabular form, summarize the 05-year economic performance of Pakistan with the help of your data also elaborate the reasons for ups and downs in these factors.

 

a) Gross Domestic Product (GDP)      

b) Gross National Product (GNP) 

Answer 1

Solution:

a.). The reasons for ups and downs in GDP are the following:

1.     Changes in consumer spending.

2.     Changes in disposable income.

3.     Inflation.

4.     Tax rate.

5.     Household debt.

 

b.). The reasons for ups and downs in GNP are the following:

1.     Level of population.

2.     Technology changes.

3.     Human capital.

4.     Physical capital or infrastructure.

5.     Natural resources.